Continuation plans for Non-COBRA eligible Groups

By Washington State law, insurance companies selling small group health plans to employers must offer the employer the option to include a continuation provision in the plan policy. Continuation plans allow a person who becomes ineligible for coverage under the group health plan the right to continue the group health plan for a limited time.

How continuation plans work

Length of coverage is typically three months but varies by insurance company, see details for each below.
Group health plans must allow enrollees to continue coverage 1) without showing proof of insurability, 2) if they divorce the primary enrollee or 3) the primary enrollee dies.
The enrollee also has the option to buy an individual health plan, however, enrollment must occur within 60 days of termination of employment.

What you need to know before you buy a continuation plan

If an employee loses their small group plan they qualify for a special enrollment period outside the annual open enrollment for an individual plan. A person only has 60 days from losing coverage to purchase a new individual plan. Green Financial is happy to assist and there are no added costs for our services: Individual Plan Rates. If you don't buy a plan during your special enrollment period, you'll have to wait until the next open enrollment period (Nov) for a January 1st effective date.

Regence Maximum Term: Thirty Days

With Regence Blue Shield, coverage can only be extended 30 days. For example, if employee is terminated on March 15th, coverage remains in effect through March 31st. If elected, coverage could be extended to April 30th but no longer.

Process to Enroll: Use the employee enrollment form found at greenfinancial.com/RegenceAdmin and on page 2, under “COBRA or Non-COBRA Continuation Enrollment”, Check the Non-COBRA Continuation box, and write in appropriate reason for entitlement and date of event. Please send form to Regence directly and copy Green Financial on form. Employee will need to send in first month’s premium to the Employer along with application.

Process to Terminate: Follow normal term process (details at /RegenceAdmin). Note, if you don’t terminate there could be complications.

Premera Maximum Term: Three months

Process to Start: Use the employee enrollment form found at greenfinancial.com/PremeraAdmin and across top margin write: “State Coverage Continuation Application”. Please send form directly to Premera and copy Green Financial. Employee will need to send first month’s premium to the Employer along with application.

Process to Terminate: Follow normal term process (details at /PremeraAdmin). Note, if you don’t terminate there could be complications.

Association of Washington Businesses Premera Blue Cross Plan:

AWB/Premera Maximum Term: Three months

Process to Start: Use the employee enrollment form found at greenfinancial.com/AWBAdmin and under “Change”, check the “COBRA/Continuation Coverage” box, and indicate start date. Employee will need to send first month’s premium to the Employer along with application.

Process to Terminate: Follow normal term process (details at /AWBAdmin). Note, if you don’t terminate there could be complications.

Kaiser Maximum Term: Three months

Process to Start: Use the employee enrollment form found at greenfinancial.com/KaiserAdmin and follow standard procedure to terminate employee. On same form, at the top of the enrollment form, write “Enroll in non-COBRA State Continuation Coverage” and send in to Kaiser and copy Green Financial. Employee will need to send first month’s premium to the Employer along with application.

Process to Terminate: Follow normal term process (details at /KaiserAdmin). Note, if you don’t terminate there could be complications.

UHC Maximum Term: Three months

Process to Start: Use the employee enrollment form found at greenfinancial.com/UHCAdmin and under “Employee Type”, check the “State Continuation Coverage” box, and indicate start date. Please send form directly to UHC and copy Green Financial. Employee will need to send first month’s premium to the Employer along with application.

Process to Terminate: Follow normal term process (details at /UHCAdmin). Note, if you don’t terminate there could be complications.

Aetna Maximum Term: Six months

Process to Start: Use the Employee Enrollment Form found at greenfinancial.com/AetnaAdmin and follow standard procedure to terminate employee. On the Employee Enrollment Form, check “State Continuation for” and indicate employee and/or dependent. Also list length of continuation if known. Please send form directly to Aetna and copy Green Financial. Employee will need to send first month’s premium to the Employer along with signed application.

Process to Terminate: Follow normal term process (details at /AetnaAdmin). Note, if you don’t terminate there could be complications.

Coverage continuation not available with National General self-funded plans, only COBRA is available. Unlike other carriers, any size group with National General can choose to offer COBRA, however, it must be requested in advance at initial enrollment or with annual renewal application.

Note:

If you do not see your carrier listed, contact Green Financial.

Dental plans do not offer continuation of coverage benefits.

Typically, coverage is in force to the end of the month the employee was terminated in. E.G. If employment terminated on March 1st through March 31st, coverage ends on March 31st.