- 8,448
October 31, 2014
In May of this year, the Federal Government issued rules that were finalized this month. They apply to the sale of Fixed Indemnity health products on or after January 1, 2015.
Most Important for Agents: Scheduled Benefit, Fixed Benefit, Hospital Benefit, etc. plans are not to be sold to people who don't have Major Medical Coverage in force. (Private Ins., Group, Medicaid, Tricare, etc.)
Here's a plain language summary of the CMS Rule.
Ref: CMS Issues Final Rule on Fixed Indemnity Insurance - HighRoads
This bulletin from the Nebraska Department of Insurance applies to Insurance companies that sell Fixed Benefit plans. It defines how the new applications for these plans must be modified for 2015 sales. Even though it's a bulletin from Nebraska, the content applies to affected insurance companies in every state.
Ref: http://www.doi.nebraska.gov/bulletin/cb132.pdf
I looked at our IL online SERFF system and can confirm that the major insurers are complying with the rule, by adding the appropriate wording to their 2015 applications.
-Allen
In May of this year, the Federal Government issued rules that were finalized this month. They apply to the sale of Fixed Indemnity health products on or after January 1, 2015.
Most Important for Agents: Scheduled Benefit, Fixed Benefit, Hospital Benefit, etc. plans are not to be sold to people who don't have Major Medical Coverage in force. (Private Ins., Group, Medicaid, Tricare, etc.)
Here's a plain language summary of the CMS Rule.
Ref: CMS Issues Final Rule on Fixed Indemnity Insurance - HighRoads
This bulletin from the Nebraska Department of Insurance applies to Insurance companies that sell Fixed Benefit plans. It defines how the new applications for these plans must be modified for 2015 sales. Even though it's a bulletin from Nebraska, the content applies to affected insurance companies in every state.
Ref: http://www.doi.nebraska.gov/bulletin/cb132.pdf
I looked at our IL online SERFF system and can confirm that the major insurers are complying with the rule, by adding the appropriate wording to their 2015 applications.
-Allen
