Covered California Notification Updates Impacts Small Businesses
Posted: March 16, 2017
by Wendy Barnett
Covered California offers Small Business and Group Health Insurance in California to businesses with 1-100 employees at any time throughout the year and seeks to better the program experience by listening to customer concerns. For instance, the concern about a delinquency notification policy was recently addressed.
Background: Delinquency notifications were causing confusion
Covered California for Small Business (CCSB) had been sending out notices to both the employer and to employees whenever a policy was late on a premium payment. Policies are given a 30-day grace period for payment to be made, and notices to such effect were going out to both employers and employees on the 5th of each month. This was causing confusion for all involved.
Action Taken: Employees will no longer receive CCSB delinquency notice
In response to feedback from customers and agents, CCSB will now send out initial delinquency notices to employers only. The employers will now be responsible to notify their employees of any potential cancellation of coverage due to non-payment. This new policy will begin in March 2017.
CCSB will still send a final notice of termination out to both employers and employees in the event that a policy is cancelled for non-payment.
If you are interested in a small business policy and what it can do for your business and employees, contact us at (877) 752-4737 option 5.
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