ANNIVERSARY MONTH AND GROUP
RENEWAL
When a business in California establishes a California Small Business health insurance plan an Anniversary month is established starting the month of the initial effective date of the insurance policy. This Anniversary month cannot be changed and serves as the group’s time period to make changes such as adding dependents, offering different insurance plans, changing employee premium contribution levels, or employee’s switching available plan offerings.
Open Enrollment Anniversary month is also many times called “Open Enrollment,” deeming the time period for changes and additions to California Small Group insurance policies offered. A group is required to allow these changes to any available plans to any and all eligible employees.
Dependent Additions Open enrollment is the one time during the year where a dependent can enroll in the California Small Business insurance plan if they had previously declined the insurance coverage. Dependent addition at any other month during the year requires a ‘qualifying event,’ which is usually the loss of alternate creditable group health insurance inside of 30 days. This is typically the result of job termination. Voluntarily terminating alternate group health insurance without loss of employment usually does not count as a qualifying event.
Employer Level Changes The anniversary month is when an Employer can make changes to the company California group health insurance offering. Such policies as Employer premium contribution is good example of an Employer level change which is often evaluated at this time. An employer may adjust (increase or decrease) the percentage it pays based on the cost increase, or to account for how well overall the company is performing. The employer can also potentially offer additional health insurance plans to the employees, responding to Employee demand or rising operational expense.
Rate Changes The California health insurance carrier will send notification of annual rate assignment typically at least 30 days prior to the effective date of the renewal. There are two types of rates renewed at this point. The R.A.F. or rate adjustment factor number a company receives which is based on health insurance claims received over the past year, and the overall rate increase which is based on county, plan, and age bracket (non specific to the company).
Other
important
resources:
California
Small Group
health quote
California
Small Group
online
doctor
listing
California
Group
Enrollment
and
Eligibility
Center
