CMS EXTENDS 'GRANDMOTHERED' POLICIES FOR ONE YEAR

We are pleased to share new guidance issued by CMS providing additional transitional relief for 'grandmothered' small group policies. Allowing states to continue grandmothered policies will minimize consumer disruption during the transition to a competitive private insurance market.

The PA and WV insurance departments are permitting insurers that continually offered grandmothered policies since 2014 to renew such coverage for a policy year starting on or before October 1, 2019. Any policies renewed under this extension must not extend past December 31, 2019. The guidance does not allow insurers to open up existing policies to new sales and it does not allow insurers that have eliminated such policies to re-create products for purposes of utilizing the accommodation.

If you have any questions, please reach out to your Highmark Client Manager or Sales Executive.

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