Some Anthem Grandmothered Small Groups Can Stay on Current Plan Through 2017
Under new guidance from CMS, grandmothered Small Groups (2-50) with July-December 2016 renewals will now have the option to take an early renewal which will let them stay on their current non-ACA plan through December 31, 2017. This allows these groups to keep the plan they’re familiar with, and it gives you and your clients more time to evaluate all of their options.
How does an early renewal work?
If groups choose to take advantage of this early renewal offer:
- They must complete and submit an Early Renewal form. See below for more information.
- They will renew on their current grandmothered plan through December 31, 2016.
- They will change their anniversary date to January 1, 2017.
- They will then renew for a 12-month period (without base rate changes) from January 1, 2017 through December 31, 2017.
- Note: This offer only applies to groups with calendar year benefits; it does not apply to those with plan year benefits.
How does my client accept this offer?
To accept this offer, groups must complete and submit an Early Renewal form.
- A copy of the Early Renewal form will be included in their upcoming renewal packet. The deadline for submission will be included on the form. Please submit completed forms to OHOffcycle@anthem.com.
- Forms received after the deadline will not be processed and groups will lose the opportunity to extend their coverage on their grandmothered plan.
Note: Groups who choose a January 1, 2017 early renewal will not receive any increases based upon trend or utilization but may see a rate change if a subscriber changes age brackets between their 2016 and 2017 renewals.
Are there other options for clients who don’t want an early renewal?
Yes, grandmothered Small Groups (2-50) who don’t want to keep their current grandmothered plan through 2017, may choose from these options instead:
- They may move to an ACA-compliant plan upon their 2016 renewal; or
- They may renew their grandmothered plan upon their 2016 renewal and then move to an ACA-compliant plan at their 2017 renewal.
- They may be eligible for other Anthem coverage. Please check with your Anthem sales representative for more information.
However, please be aware that once your clients shift to an ACA-compliant plan, they will not be able to switch back to a grandmothered plan.
What about dental, vision, life and disability coverage that my clients have with Anthem?
If your client elects to change their anniversary date to January 1, 2017, dental, vision, life and disability plans will follow suit.
When will renewals be available?
Renewal packets will be mailed to eligible groups approximately 65 days prior to the group’s renewal date. Brokers can access their Small Group (2-50) renewals in Producer Toolbox 60 days prior to the renewal date.
Source: Anthem Producer Online News 04/13/2016