Kilpatrick

Carrier News

BCBS Offering Additional 3 Months to Oct 2016 Mid-Market Renewals and New Business

BCBS is offering a 15-month contract option to middle market groups (51-150) effective and renewing Oct 2016. The option extends the 2016-17 plan year by three months at the final rates plus 1% of premium. The purpose of this extended option is to enable employers who previously offered coverage on a calendar year basis and changed their anniversary dates to Oct 1 in anticipation of small group expanding to include employers with up to 100 employees to move back to a calendar year plan cycle. In 2015, the PACE Act was enacted, which permanently blocked the expansion. See the BCBS program flyer for more information.

  • The additional short plan year renewal option is available to all mid-market employers whose medical plans are effective on or renew on 10/1/2016 or 10/15/2016.
  • BCBS’s middle market segment includes employers who averaged more than 50 employees and have less than 150 employees enrolled.
  • BCBS will add 1% to the final sold rates (or renewal offer) and charge those rates for 15 months.
  • Technically, the employer’s next plan year will span 12 months, renew again in Oct 2017 on a short 3-month plan year, then renew again in Jan 2018.
  • At the Oct 2017 renewal, BCBS will add its 2017 product enhancements like virtual visits to the renewing plans.

Employers who want to take advantage of the program must submit a signed Anniversary Date Change Form at least 15 days prior to the policy effective/renewal date.

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