March 21, 2017
On March 10, 2017, Illinois Director of Insurance Hammer released Company Bulletin 2017-01 related to the extension of non-PPACA-compliant small group and individual policies and plans. As background, on Feb. 23, 2017, the federal government announced an additional transition policy that allows insurers (if allowed by the state) to renew non-grandfathered non-PPACA-compliant plans (this transitional relief has been extended twice before). Such policies are not required to be in compliance with certain PPACA mandates including community rating, coverage of essential health benefits, prohibition on pre-existing condition exclusions and the annual out-of-pocket maximum limit.
The Bulletin states that Illinois will allow insurers to renew policies in the individual market and the small group market according to the extended transitional policy. Employers with non-PPACA-compliant plans should work with their insurer on any policy extension.
Company Bulletin 2017-01 »