This Upcoming AEP

[russelltw]

Had a meeting with one of my carriers last week. They think the next AEP will be a mess also. They mention this:

AEP starts 11/15. You will have to re-enroll all your existing clients by 12/15 to ensure they continue to receive a subsidy for 1/1/15.

If you re-enroll them on 12/16 or later, the client will miss January's subsidy. So the client will pay the full premium of plan for January and subsidy will start back in February.

How much fun does that sound. Since the enrollment was moved from 10/15 to 11/15; you now have 30 days to get everyone re-enrolled to have continuous subsidy.

Thoughts? Anyone heard of this?

 

[RayNY]

A client who files on 12/16 also receives a 2/1 effective with a one month lapse in coverage, not just a month sans-subsidy, right? Or is it considered an SEP due to loss of coverage that results in an effective the first of the month after the event (1/1, since plans term 12/31 technically)?

I've had a LOT of brokers say something along the lines of "who cares!? My clients have effective dates all through the year! 1/1 is a small part of my book!"

Of course, I reply "yes, but they all renew 1/1 regardless of effective, they're calendar year". When they check and see that is the case, their faces drop.

It's going to be rough plowing through a whole year worth of renewals, in a month, that falls between elections and Christmas and covers thanksgiving.

 

[somarco]

falls between elections and Christmas and covers thanksgiving.

Christmas in Georgia comes on 12/25 which, on my calendar, is after 12/15. What kind of yankee calendar do you have?

 

[rugerred]

Is there anything in writing on the subsidy renewals?

Sent from my Samsung Galaxy

 

[Yagents]

Me thinks that if a client does nothing, they keep their existing plan and existing subsidies. There will be many issues coming this AEP that we will not know about until Nov 15th.

 

[GreenSky]

Christmas in Georgia comes on 12/25 which, on my calendar, is after 12/15. What kind of yankee calendar do you have?

And don't forget Ricksmas. It's on Tuesday, Dec. 23 this year.

Rick

 

[rugerred]

Me thinks that if a client does nothing, they keep their existing plan and existing subsidies. There will be many issues coming this AEP that we will not know about until Nov 15th.

This was my understanding as well. Unless they needed to make an income change they could let it ride.

Sent from my Samsung Galaxy

 

[taterpeeler]

client keeps plan and no loss in subsidy... stupid scare tatics by carrier... you should have smoked this out when discussing this with carrier

 

[AllenChicago]

client keeps plan and no loss in subsidy... stupid scare tatics by carrier... you should have smoked this out when discussing this with carrier

Since every income for 2015 will be different than it is in 2014, there is SOME ACTION that every subsidized insured will have to take before 12/15/2014, related to income projection, just like they did this last Open Enrollment Period. HHS/IRS haven't figured out what that action will be, and of course, how to implement it yet.

Remember, we be talking bout GOVERNMENT here. Logic and efficiency are not present in our Uncle Sam's personality.

ac

 

[Yagents]

So, tell me Allen. If a subsidized client does NOTHING, what will happen?

Policy cancelled? Doubt it.
Subsidies reduced? Doubt it.