It will be a contractual requirement in a new plan year that you distribute the SBC forms to employees in accordance with the regulations and non-compliance can result in penalties.
San Diego, CA (PRWEB) October 02, 2012
Compare Health Insurance, a California health insurance agency that offers both personal and group health insurance coverage, wants to inform consumers about a new Federal provision requiring businesses to provide a Summary Benefit of Coverage (SBC) to all covered individuals.
As part of federal health reform, all health insurers and employers are responsible for providing covered individuals with a uniform summary of their health care benefits to help understand their medical insurance coverage.
Upon the renewal period the law requires that an SBC form be distributed to eligible employees-30 days prior to your new plan year or at least seven business days after renewal to confirm coverage for the new plan year. If the new law takes effect after the open enrollment begins then the particular requirement doesn't apply until the next anniversary date.
It will be a contractual requirement in the new plan year to distribute the SBC forms to employees in accordance with the regulations and non-compliance can result in penalties. California health insurance businesses will be sent these forms or can download these forms on the carrier website.
John Weiss, Owner of Compare Health Insurance, says business owners should have an office meeting to go over the form and the corresponding coverage for each employee. Compare Health Insurance CA can also send these forms either by email or calling toll free at 888-504-6171.