There are a few different types of policies that must be guaranteed renewable in order to protect policyholders. The most common type of policy is an individual health insurance policy. These policies must be guaranteed renewable under the terms of the Patient Protection and Affordable Care Act (PPACA). Other types of policies that must be guaranteed renewable include long-term care insurance policies and disability income insurance policies.
Under the PPACA, all new health insurance plans sold in the individual market must be guaranteed renewable. This means that insurers cannot cancel your coverage or refuse to renew your policy as long as you continue to pay your premiums. Insurers are also prohibited from making any significant changes to your coverage, such as increasing your deductible or reducing the benefits you receive, without your consent.
If you have a long-term care insurance policy, it must also be guaranteed renewable. This means that your insurer cannot cancel your coverage as long as you continue to pay your premiums. In addition, they cannot make any significant changes to the benefits you receive without your consent.
Finally, if you have a disability income insurance policy, it too must be guaranteed renewable. This means that as long as you continue to pay premiums, your insurer cannot cancel your coverage or reduce the benefits you receive.