New York State Extends Health Insurance Premium Payment Grace Period
A recent Executive Order issued by Governor Cuomo extends health insurance premium payment grace periods for individual and small group plans provided you demonstrate financial hardship as a result of the novel coronavirus (“COVID‑19”) pandemic.
Insurance Payments – Grace Period for Individual and Small Group Plans
If you can demonstrate financial hardship as a result of the COVID-19 pandemic, your insurer must extend the applicable grace period for the payment of health insurance premiums to June 1, 2020, and pay claims during this time.
Your insurer cannot do the following:
- Retroactively terminate policies for non-payment
- Impose late fees relating to the premium payment
- Report you to a credit reporting agency or a debt collection agency
How to Demonstrate Financial Hardship
- If you are unable to make a timely premium payment due to financial hardship as a result of the COVID-19 pandemic, you may submit a written attestation to your insurer.
- The Executive Order does not provide instructions, but it is likely to follow similar requirements as seen in the recent Executive Order 202.13.
- The recent Executive Order maintains that a statement that you swear or affirm in writing under penalty of perjury that you are experiencing financial hardship as a result of the COVID-19 pandemic will suffice.
Sources:
Executive Order 202.14 issued by Governor Cuomo on April 7, 2020
Emergency Adoption of the 59th Amendment to Regulation 62 (11 NYCRR-52)
Minimum Standards for Form, Content, and Sale of Health Insurance, Including Standards of Full and Fair Disclosure
Questions
If you have any questions regarding your rights under the Executive Order or regulations, please feel free to reach out to us directly.