To Avoid Surprise Insurance Bills, Tell Exchange Plan When You Move

Where did my insurance plan go?i

Where did my insurance plan go?

If you thought more experience with the heath insurance marketplaces would cut down on confusion about them, you’d be wrong. The questions about how they work keep pouring in. Here are answers to some of the latest queries.

I purchased health insurance in Ohio through the marketplace in April. I then moved to Missouri and applied for marketplace coverage there that began in October. I had assumed that the Ohio marketplace would cancel my coverage there, but that didn’t happen. What should I do?

When people relocate, it’s up to them to inform the marketplace and their insurer, says Judith Solomon, vice president for health policy at the Center on Budget and Policy Priorities.

If you don’t inform the marketplace that you’re cancelling your subsidized plan, a 90-day grace period will begin the first month that you don’t pay your premium. The grace period is intended to protect consumers from losing coverage immediately because of a late payment. During the first 30 days, insurers are required to continue coverage and pay claims. For the next 60 days, if consumers still haven’t paid up, insurers may delay paying claims. During this period, consumers can still pay their back premiums and continue their coverage if they wish. After 90 days, the insurer can cancel coverage.

You could be on the hook for the entire premium for the first month of the 90-day period, according to the Centers for Medicare Medicaid Services. Although consumers wouldn’t generally be responsible for repaying any premium tax credit for that first month, in some circumstances they might have to pay that back when they file their taxes, CMS says.

Solomon’s advice: “Call the Ohio marketplace and ask them to retroactively cancel her coverage.”

I help people apply for marketplace policies and I’ve noticed that some of the plans sold on the state marketplaces don’t cover tobacco-cessation medication and other products

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