Insights

New Bulletin on Identification of Plan’s Funding Status on Insurance ID Cards


On July 2, 2019, the Insurance Department published Bulletin No. 6-2019, which is titled “Health Plan and Prescription Drug Coverage Identification Cards.” The bulletin is directed to health benefit plan issuers in the fully insured and self-insured health benefits markets, including TPAs and pharmacy benefits managers servicing such plans for enrollees in Arkansas. Arkansas recently enacted a law (effective April 4, 2019) that requires disclosure by health care payors of whether its plans are fully or self-insured on health plan identification (ID) cards. As a result, plans in both the fully insured and self-insured markets are to provide their insureds or enrollees with plan benefit ID cards that state whether the plan is insured (by an insurer or HMO) or whether it is a self-insured employer plan. According to the bulletin, the language needs to be simple, clear, and aimed toward consumers and health care payors who are not versed in insurance industry parlance or third-party network administration structures. The bulletin includes some example language that could be used.

The bulletin applies to both fully insured plans and self-insured plans that operate in Arkansas. Employers with fully insured Arkansas plans should work with their carriers in correcting ID cards. Self-insured employers in Arkansas should work with their TPAs in facilitating new ID cards with appropriate information on the plan’s self-insured status.

Bulletin No. 6-2019 »