We purchased CalPers Long Term Care 15 years ago. We paid a higher premium which we were ASSURED would provide inflation protection (5% coverage increase each year) and informed that our premiums would NOT be increased (specifically stated in the brochure).

In 2010, they not only increased our premiums 20% plus, but added ANNUAL 5% premium increase (defeating the inflation protection). When we called to complain then, we were told they misjudged payouts but had paid for professional actuaries so the current increase should definitely cover the difference.

Last month we received a notice of an 85% INCREASE in our policy… with no guarantees that they would not increase even more if they found out that wasn’t enough. How could there be such a huge increase only 2 years from their “updated” projections? This shows complete incompetency in the management of this trust – and apparently it is only the beneficiaries who have to pay the damages.

During this time several Board Members have been indicted for illegal activities in the fund. Their portfolio contained bad investments which suffered even more during the crash.

Having to pay almost 300% more with this ADDITIONAL 85% increase than when we started when we (and many others) are retired and on fixed income is appalling. CalPers is hoping people will cancel either cancel their policies and lose all their prior premiums (in ours and others cases over $50,000), or drastically reduce our coverage to a fixed maximum term. And IF their projected percentage of beneficiaries do not cancel or reduce their term, there will be ANOTHER increase.

This is clearly a bait-and-switch FRAUD. Where are the regulations that allow this to happen? If their initial promises are worthless and unlimited premium increases are not illegal, why should anyone buy long-term care insurance?

As a self-employed private sector worker, I have to fork over 12.5% of my gross earnings to the social security administration, in order to get a “pension” equivalent to maybe one-third of my final salary, starting at age 68. This equates to about a 2% annual return with zero matching.

As a drone who shows up for his government job, I will fork over no more than 9% of my gross earnings, if that, to my public employee pension fund, in order to get a pension equivalent to at least two-thirds of my final salary, starting by age 60, if not sooner. This equates to a 7.5% guaranteed annual return with 200% matching (or more).

CalPERS is part of an occupying army. This is despicable oppression.