INSURANCE COVERAGE CHANGES
Several insurance companies stopped selling plans in Nevada as of January 1st, 2018. Among this group was Humana. This affected people immediately, as all health insurance plans renew on the first of the year. Many Nevada residents lost their health insurance coverage and needed new plans. Humana’s decision affects small businesses employers and employees when they go through the annual renewal period.
IT’S NOT JUST NEVADA
Humana’s decision to stop offering individual or family plans took effect at the beginning of 2018. This move shocked individuals nationwide. Even those grandfathered in prior to the Affordable Care Act, which passed in 2010, needed to choose a new plan.
In justifying this move, Humana stated “Humana’s decision is based on our business experience to date in the individual medical insurance market. Given the challenges we’ve faced, we will be unable to offer coverage in the individual medical market, including through the Health Insurance Marketplace, after this year.”
For people seeking new insurance coverage, available plans usually came with higher premiums and new networks with different doctor lists.
SMALL BUSINESS PLAN ARE ALSO CANCELLED
Humana’s decision impacts health insurance small business plans, though not right away. Since these plans renew throughout the year, Humana will continue to cover these employers and employees until the end of their plan. Cancellation dates for covered employees depend on the renewal date in past years.
Health plan cancellation does qualify employees for a Special Enrollment Period, allowing them to enroll in a plan mid-year. When Humana coverage ends for these individuals, employees have two options. They can find coverage with a new insurance company or be uninsured for the remainder of the year.
This decision gives small businesses time to find a new plan, but they should not wait. The best option for these employers is to start shopping early for new health insurance plans. Provide pharmacy guides and new doctors lists to employees as soon as possible. Your health insurance broker can provide these. Employees can use these resources to check their primary care doctor and drug coverage before switching to a new plan. This preparation will identify problems early on and avoid more going forward.
After providing these resources, the next step is completing enrollment forms. Employees need to complete insurance enrollment forms. It can take a month and a half to complete these steps, so do them as soon as possible. After that, the enrollment process will be specific to the group insurance plan of the company you choose. Please call our office if you would like group health insurance quotes for any of the existing plans in the market.
This change will not impact Medicare Nevada plans.