SMALL GROUP HEALTH COVERAGE FAQs

<body topmargin=0 leftmargin=0 marginheight=0 marginwidth=0> <table cellpadding=0 cellspacing=0 border=0><tr> <td valign="top" colspan=2 height=90 BGCOLOR="#006699" TEXT="#080000" bgproperties="fixed" background="039285a1erlcgo.png"> <div> <FONT SIZE="5" COLOR="#FFCC66" FACE="Arial" ><B>LIFE, DISABILITY, MEDICAL, MEDIGAP, DENTAL, LTCI and ANNUITIES </B></FONT><B>     |     </B><A HREF="index.htm" TARGET="_top" TITLE="LIFE, DISABILITY, MEDICAL, MEDIGAP, DENT"><U><B>home</B></U></A></div> <div>                                                   </div> <div> </div> </td> </tr><tr> <td valign="top" width=210 BGCOLOR="#FFCC66" TEXT="#080000" background="038d2c00dkelyh.png"> <div> W. Forrest Veal, CLU</div> <div> P. O. Box 700222</div> <div> Dallas, TX 75370</div> <div> 972 250 6516</div> <div> 1 888 845 8325</div> <div> Fax 1 775 542 0808</div> <div> Email - vealbs@juno.com  </div> </td> <td valign="top" height=390 BGCOLOR="#FFFFFF" TEXT="#080000"> <div> <I>SMALL GROUP HEALTH COVERAGE FAQs</I></div> <bR> <div> Small Groups for health coverage purposes are defined as employers with 2 to 50 employees. The Texas Department of Insurance provides a list of 28 questions and answers to help small employers understand the requirements applicable when they provide an insured group medical plan for their employees.</div> <bR> <div> To go directly to the 28 Q and A's on Small Employers Health Insurance, click on the following site:</div> <div> <A HREF="http://www.tdi.state.tx.us/consumer/cbo40.html" TARGET="_top" TITLE="http://www.tdi.state.tx.us/consumer/cbo4"><U><B>http://www.tdi.state.tx.us/consumer/cbo40.html</B></U></A> </div> <bR> <div> Three of the more important questions have to do with "Open Enrollment Period", "Late Enrollment" and "State Continuation". These subjects are covered in questions 20, 21 and 22.</div> <bR> <div> <B>"Open Enrollment Period" - </B>Every insured plan is required to have an annual "open enrollment" period of at least 31 days. This is to allow late enrollees the opportunity to join the plan, however, an employee does not have to wait for "open enrollment" and is not considered a late enrollee, when certain changes in coverage or family status occur. Some insurance companies provide assistance with open enrollment but if you need help with an employee notice click<A HREF="id41.htm" TARGET="_top" TITLE="OPEN ENROLLMENT SAMPLE NOTICE"><U> </U></A><A HREF="id41.htm" TARGET="_top" TITLE="OPEN ENROLLMENT SAMPLE NOTICE"><U><B>"here".</B></U></A> You will go to a sample notice that you can personalize and change for your specific needs. It is recommended that you have your insurance company review your notice.</div> <bR> <div> <B>"State Continuation Coverage" -</B> Your group policy will outline the conditions under which a terminating employee or dependent may continue their health coverage and for what period of time. You should check with your insurance company to determine what assistance they provide and how you are to report and pay the premium for those who elect continuation of coverage. More important, if your group is large enough to have a COBRA responsibility, you must coordinate your COBRA notices and State Continuation notices. The six months State Continuation follows COBRA coverage <B>in Texas </B>which means you must make sure the covered person is aware of their rights. If a person elects State Continuation, then prior to the end of this period, the <B>insurer</B> must provide the individual with enrollment information for the <B>Texas Health Insurance Risk Pool. </B><A HREF="http://www.tdi.state.tx.us/company/lhrskpol.html" TARGET="_top" TITLE="http://www.tdi.state.tx.us/company/lhrsk"><U><B>Click to see the required Notice.</B></U></A></div> <bR> <div> <B>To return to the Table of Subjects, click "home" in the above blue border.</B></div> <bR> <bR> </td> </tr></table></body>