Notification of discontinue Kaiser small group HSA plans
Starting January 1, 2016, we’ll no longer offer the Silver 70 HSA HMO 1500/20% w/ Child Dental and Bronze 60 HSA HMO 3500/30 w/ Child Dental plans to small groups. Some of your groups may be affected by this change and will be automatically enrolled into the Bronze 60 HSA HMO 4500/40% w/ Child Dental plan upon renewal — unless the group chooses another option.
Why we’re making this change
- We’re discontinuing these health savings account (HSA) plans in order to comply with actuarial value (AV) requirements set by the Affordable Care Act and California health insurance regulations. Our current Silver 70 HSA HMO 1500/20% and Bronze 60 HSA HMO 3500/30 plans don’t meet these AV requirements.
- California health insurance regulations don’t allow a deductible greater than $2,000 at the silver metal level. We weren’t able to develop a plan close enough to the current Silver 70 HSA HMO 1500/20% plan and meet the AV and $2,000 deductible requirements.
- Changes needed to adjust the Bronze 60 HSA HMO 3500/30 plan to meet the AV requirements were such that there wasn’t a significant difference between that redesigned plan and the Bronze 60 HSA HMO 4500/40% plan. As a result, we’re mapping small groups enrolled in these plans to our Bronze 60 HSA HMO 4500/40% plan.
What you can expect
To support you in your client conversations, you’ll receive:
- a letter listing your impacted groups
- copies of employer notifications being sent 90 days prior to their renewal month
If your clients have questions about whether or not their employees’ credits toward the deductible and out-of-pocket maximum cross over to the new plan, this guide (PDF) will help them determine if these credits will transfer to the new plan or if they’ll reset to zero.