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 Financial
Genworth 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.
Genworth has approximately 6,300 employees and operates through three divisions: Insurance and Wealth Management, which includes U.S. Life Insurance, Wealth Management and International Protection segments; Global Mortgage Insurance, which includes U.S. and International Mortgage Insurance segments; and the Corporate and Runoff division. Its products and services are offered through financial intermediaries, advisors, independent distributors and sales specialists. Genworth Financial, Inc., which traces its roots back to 1871, became a public company in 2004 and is headquartered in Richmond, Virginia. For more information, visit genworth.com. From time to time, Genworth Financial, Inc. releases important information via postings on its corporate website. Accordingly, investors and other interested parties are encouraged to enroll to receive automatic email alerts and Really Simple Syndication (RSS) feeds regarding new postings. Enrollment information is found under the "Investors" section of genworth.com
This press release includes certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to our plans, objectives, expectations and intentions and other statements contained in this release that are not historical facts as well as statements identified by words such as expects, anticipates, intends, plans, believes, seeks, estimates, or words of similar meaning. These statements are based on our current beliefs or expectations and are inherently subject to significant uncertainties and changes in circumstances, many of which are beyond our control. Actual results may differ materially from these expectations due to changes in global political, economic, business, competitive, market and regulatory factors.
SOURCE Genworth Financial, Inc.
Tom Topinka (U.S.), +1-804-662-2444, Thomas.Topinka@genworth.com