An insurer expects premiums to be paid prior to a member’s specified due date. Exchange rules require a payment grace period. Although this is not a new term, the grace period for Exchange premium payments will differ between non-subsidized and subsidized members.
A grace period is the period of time after a premium payment becomes due in full without policy cancellation.
Members should pay before their due date. Beyond these grace periods if a member has not paid their outstanding premium in full, their coverage will be terminated and they will not be allowed to re-apply for Exchange insurance until the next Open Enrollment Period. Members will be notified if they are in a past due premium situation.
Grace periods:
• Non-subsidized members: A non-subsidized member will have a 1-billing-month grace period from their billing due date to pay in full.
• Subsidized members: A subsidized member will have a 3-billing-month grace period.
If you have questions, please call Anna Moorman.
