Monday, June 30, 2014

Your Grandfathered Plan

If you're one of the lucky (very) few whose plans were "grandfathered" (ie not subject to most of the more draconian ObamaTax requirements) you've probably already received notice from your carrier about your choices. Some folks, though, have non-grandfathered, non-compliant plans, and they may be eligible to keep their plans (for a while):

Some carriers did take the President at his word ("if you like your current plan, you can keep it"), and have filed rates with the appropriate departments of insurance in order to do so.

In Ohio, it seems that only three carriers - Medical Mutual of Ohio, United Healthcare (aka Golden Rule) and Humana -  elected to participate. Insureds with these carriers will be able to keep their current, non-ObamaTax plans for a while longer, albeit at higher rates. How they're doing this is interesting:

Medical Mutual is offering "transitional rates" that will be good for plans which renew starting in August. They also note that no changes will be permitted on these plans; that is, no increasing deductibles to lower rates, etc. They further note that the renewal also triggers a Special Open Enrollment, so folks who want to move to ObamaTax-compliant plans may do so (on-or off-Exchange).

UHC is taking a similar tack, with a twist:

"Your clients in [OH and a few other states] can keep their current [UHC plans] without further Affordable Care Act (ACA) changes through September 30, 2017."

They do note, however, that "additional ACA requirements must be included in all [non-grandfathered] health plans." This means, of course, higher rates, but at least your basic plan remains largely the same.

Finally, Humana "will continue to allow members to keep their Non-Grandfathered Non-ACA policies under the defined rules provided by each state."  Here in the Buckeye State, this means that non-ObamaTax-compliant plans will begin to renew tomorrow (July 1). They also point out that "renewal" also means "Special Open Enrollment."

Not all states have elected to participate in the "renew your old plan" program, so check with your agent to see whether or not you're affected.

And remember: this is not the same as the "auto-renewal" issue about which Pat wrote yesterday - that affects new, ObamaTax-compliant plans, not these.

Clear as mud?
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