CalPERS Long Term Care Policies Settlement

Settlement Structure: Claims Made

Active: Closed

Closed Settlement Statement:

According to court documents, the claim submission deadline has passed. Please contact the claims administrator if you have any questions.

Case Summary:

The California Public Employees’ Retirement System (CalPERS) is settling a class action about a steep price rise in its long-term care (LTC) insurance policies. The complaint alleged that CalPERS breached its contract with persons who had LTC policies with inflation-protection benefits when it raised its premiums by 85%. The increase was announced in 2013 and put into effect in 2015 and 2016.

Docket Number:


Company: California Public Employees’ Retirement System (CalPERS)

Filing Deadline: December 13, 2021

Class Period: January 1, 1995 to December 31, 2004

Objection Deadline: December 13, 2021

Exclusion Deadline: December 13, 2021

Final Approval Hearing: June 8, 2022

Proof of Purchase:

You must determine which category you are in before you can determine what you need to do and what benefits you may receive. Note that Category A class members (those who are current policyholders who are not on claim on the final settlement date) who wish to get a replacement LTC policy must submit their claim forms earlier than others, by September 22, 2021.


You may be eligible if you
- Were a citizen of California in February 2013
- Bought an LTC policy (LTC 1 or LTC 2) from CalPERS between 1995 and 2004 that included automatic inflation protection benefits, and
- Were subjected to the 85% premium increase announced by CalPERS in 2013.
Note that class members are divided into Categories A-I, depending on a number of things: whether they are current policyholders who are not on claim, current policyholders who are on claim, or prior policyholders who allowed their policies to lapse, who exhausted their benefits, or who passed away.

Policyholders who converted their policies to LTC 3 policies before the 85% increase was put into effect are not part of the settlement class.

Typical Settlement Amount:

Each class member belongs to one of Categories A-I. Benefits vary according to the category. For example, Category A members will receive a refund equivalent to all premiums paid on their policies, with a minimum of $10,000, or may be entitled to receive a replacement LTC policy. Note that Category A members must keep making their premium payments until the settlement is final and effective. Settlement members of Categories B-I will automatically be mailed their settlement payments.

For more information on categories and benefits, see the Notice at https://www.calpersltcclassaction.com/Content/Documents/Notice.pdf.

Total Settlement Amount: Total for payments to class members, $2.4 billion. Additional $282.5 million for other costs.

Class Representative Proposed Incentive Fee:


Law Firms:
Kershaw Cook & Talley PC
Nelson & Fraenkel LLP
Shernoff Bidart Echeverria Bentley LLP

Claim Form: CalPERS Long Term Care Policies Settlement Claim Form

Case Name: Wedding, et al. v. California Public Employees Retirement System, et al.

Settlement Website: CalPERS Long Term Care Policies Settlement Website

Claims Administrator:
Epiq Class Action & Claims Solutions, Inc.

Claims Administrator Contact Information:

Wedding v. CalPERS
P.O. Box 6790
Portland, OR 97228-6790

Tags: Insurance, Long Term Care Insurance, Premium Increases, Unfair or Improper Increase in Premiums