CLIENT FAQs - Frequently Asked Questions
Are you making changes to any products or processes?
The law is both comprehensive and complex, and we are currently evaluating its impact on both our agents and our customers. We are taking time to fully understand the impacts of this law and are committed to operating in compliance
with all guidelines and regulations. We will continue to identify and monitor any potential impact, make the necessary
product and process changes and communicate this information with our agents and customers, as appropriate.
How will changes to my clients’ policies or benefits be communicated?
Any requirement of the new legislation that would impact your clients’ policies or benefits with us will be communicated in writing and sent to policyholders. If your clients have specific questions about their policy, please have them contact Assurant Health Customer Service directly by calling the number located on their ID card.
Will my clients’ premiums increase as a result of health care reform?
We pride ourselves on providing valuable benefits and services to our customers; however, rate increases do occur. In compliance with the guidelines and requirements of the new health care law required by September 23, 2010, we will modify policyholder benefits accordingly. With these adjustments to policy benefits, it is probable that an increase in premium costs will
occur. We will provide customers with notice before the benefit changes and any resulting premium increases take
effect. Beginning in 2014, premium prices cannot be based on a customer’s gender or health status. Until then, our current premium pricing will apply.
Are there annual or lifetime maximums on coverage under the new law?
Effective September 23, 2010, there are no lifetime maximum limits on coverage. In addition, there will be no annual limits
on group plans. For individual plans, annual limits may be allowed based on what Health and Human Services deems
reasonable. This information is not yet available.
When are my clients able to have their dependents covered until they are 26?
Effective September 23, 2010, the law states that customers will be able to have dependent coverage for their married AND unmarried children up to the age of 26. The requirement is applicable even if the child is not a tax dependent. The law does not specifically include spouses of married children. There is no requirement to cover children of covered dependent children
(i.e., grandchildren).
Under the new law, do pre‐existing conditions no longer matter?
Effective September 23, 2010, insurance companies cannot limit coverage for children on individual or group policies with pre‐existing medical conditions. For adults with individual policies, this provision goes into effect in 2014.
Under health care reform, what happens to rescission?
Effective September 23, 2010, rescissions will occur only in cases of customer fraud or intentional misrepresentation.
Is it true that anyone who applies for coverage will be issued coverage?
Under the Guarantee Issue provision, effective in 2014, anyone who applies for coverage must be issued coverage.
How will this new law affect my clients with MSAs/HSAs?
At this point, the only change we are aware of is the tax penalty increase from 10 percent to 20 percent for “non‐qualified”
expense withdrawals. This is effective beginning in 2011.
