RICHMOND, Va., March 6, 2013 /PRNewswire/ -- Genworth Financial, Inc. (NYSE: GNW) today announced a suspension of sales of individual long term care insurance products in California, California Choice and Choice Partnership, effective March 21, 2013. California Choice and Choice Partnership represented approximately 12% of Genworth's 2012 long term care insurance sales.
"We continue to invest in developing and implementing smart, sustainable products built for the future," said Pat Kelleher, President and CEO of Genworth Life Insurance Company. "We believe the suspension of our individual long term care products in California, pending approval of our new Privileged Choice ® Flex product in California, is appropriate in light of the return profiles on both the California Choice and Choice Partnership products. It is important that the products we offer are priced to balance the needs of our consumers with our desire to achieve long-term profitability."
Genworth has filed a new individual long term care insurance product, Privileged Choice
® Flex in
California which once approved, will replace California Choice and Choice Partnership. "We are working closely with the California Department of Insurance to approve Privileged Choice
® Flex with the goal of resuming sales in the near future," said
Pat Kelleher. In addition, Genworth plans to launch the new Privileged Choice
® Flex 2 product in 31 states on
April 15, 2013. These actions will have no impact on existing policyholders.
About Genworth FinancialGenworth Financial, Inc. (NYSE: GNW) is a leading Fortune 500 insurance holding company dedicated to helping people secure their financial lives, families and futures. Genworth has leadership positions in offerings that assist consumers in protecting themselves, investing for the future and planning for retirement -- including life insurance, long term care insurance, financial protection coverages, and independent advisor-based wealth management -- and mortgage insurance that helps consumers achieve home ownership while assisting lenders in managing their risk and capital.