Tuesday, June 07, 2016

Another Day, Another InHealth Update

Via co-blogger Patrick, some interesting news on the InHealth front, clarifying some things we already knew:

"Today, the Ohio Department of Insurance announced the approval of a 60 day Special Enrollment Period (SEP) for InHealth enrollees due to its recent financial problems which resulted in Lt. Governor/ODI Director MaryTaylor being appointed liquidator of InHealth."

Since the DOI took over the troubled carrier on May 26, the SEP will run from that date to July 26. There were two other items in the announcement that I found interesting:

First, as we suspected, it look like it will be up to individual carriers as to whether or not folks will have to satisfy a new deductible if they switch:

"[Y]our deductibles and out of pocket maximum may reset and your benefits and provider network may change"

"May" reset. My money's on "will."

The other item is one I hadn't really considered, but answers questions raised in the comments to the last post we did on this:

"If you choose not to obtain other coverage, your current deductibles may stay in place but your overall coverage will be subject to a $500,000 maximum. As a result, this option may cause you to be subject to the individual mandate penalty. You should contact the IRS or a tax professional to discuss further."

Since the ObamaTax lifted the cap on a person's claims, and the state's Guaranty Fund puts one back on, it renders the IH plan non-compliant, and therefore subject to the penalty tax fee.

And there's this:

"In addition, any subsidy that you may have been receiving will not apply to continued coverage."

Which is probably self-evident, but probably best to point it out.
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