superintendent of insurance orders temporary cease

NEW MEXICO
OFFICE OF SUPERINTENDENT OF INSURANCE
P.O. Box 1689
Santa Fe, NM 87504-1689
1120 Paseo de Peralta
Santa Fe, NM 87501
John G. Franchini
SUPERINTENDENT
PRESS RELEASE
FOR IMMEDIATE RELEASE: January 7, 2015
SUPERINTENDENT OF INSURANCE ORDERS TEMPORARY CEASE-AND
DESIST FOR BUYOUT OF LONG-TERM CARE NON-FORFEITURE POLICIES
SANTA FE, NEW MEXICO: John G. Franchini, New Mexico Superintendent of Insurance has
issued a temporary Cease-and-Desist order to the Senior Health Insurance Company of Pennsylvania (SHIP)
with regard to the company's offer to buy out certain Non-Forfeiture Option benefits remaining from the
lapse of long-term care policies.
According to SHIP, the buyout offer was extended to policyholders without notice to the Office of the
Superintendent of Insurance. The Superintendent has ordered the company to submit an appropriate filing
and pertinent information to evaluate the offer and obtain the Superintendent's approval before proceeding
with the offer.
SHIP has notified the New Mexico Superintendent of Insurance that the company believes it is extending a
fair offer. "Our responsibility to the people of New Mexico demands that we be assured that it is a fair offer,
and we have not yet been able to make that determination," said Superintendent John G. Franchini.
The Office of Superintendent of Insurance regulates the insurance industry in New Mexico and consumers
are free to contact the Office at 505-827-4601 or www.OSI.state.nm.us and link to the “Ask the
Superintendent” section if they have any questions.