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April 2020
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Market Edge
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News for All Segments
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Grace Period Flexibility available for members with individual and family plans
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The COVID‑19 pandemic is changing how we live, work, and serve our members. We understand the financial impact our members may be experiencing during this unusual time. We are committed to working with our members to help them get through this crisis and will be offering payment flexibility for those who are most in need.
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We offer ways to reduce members’ financial burden
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We encourage all members who are able to pay their health plan bill on time to continue to do so, but we understand the toll this crisis is taking on many families and individuals. For members who are having difficulty making their premium payments, we are offering an opportunity to reduce this burden.
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Grace Period Flexibility
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This program permits consumer members to defer their April or May premium payment with no interest and no penalty. The deferred premium must be paid by December 1, 2020. Members can make incremental payments of the deferred premium each month through December 1 or can satisfy the deferred premium any month prior to December. All other monthly premium payments must be made in a timely manner and the deferred April or May premium must be paid by December 1 to avoid delinquency and potential termination.
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Grace Period Flexibility example for Jane
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Below is an example of a member, Jane, who takes advantage of Grace Period Flexibility for her April invoice and is making incremental payments through December 1, 2020.
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Jane’s monthly premium is $210 and she defers payment for April coverage. She makes installment payments of $30/month starting in June. She is fully paid by December.
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| Coverage Month |
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Invoice Amount |
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Amount
Due |
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Due
Date |
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Amount
Paid |
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Deferred balance |
| April |
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$210 |
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$210 |
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April 1 |
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$0 |
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$210 |
| May |
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$420 |
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$210 |
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May 1 |
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$210 |
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$210 |
| June |
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$420 |
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$240 |
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June 1 |
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$240 |
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$180 |
| July |
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$390 |
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$240 |
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July 1 |
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$240 |
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$150 |
| August |
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$360 |
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$240 |
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August 1 |
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$240 |
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$120 |
| September |
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$330 |
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$240 |
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September 1 |
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$240 |
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$90 |
| October |
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$300 |
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$240 |
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October 1 |
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$240 |
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$60 |
| November |
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$270 |
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$240 |
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November 1 |
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$240 |
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$30 |
| December |
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$240 |
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$240 |
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December 1 |
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$240 |
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$0 |
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To be eligible for Grace Period Flexibility, consumer members must be paid through March 2020 premiums to defer the April premium or paid through April to defer the May premium.
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If a member fails to make additional premium payments by their due date or does not satisfy the deferred April or May premium by December 1, 2020, the member will be considered delinquent and the delinquency process will begin. As a reminder, there is a 90‑day grace period for subsidized members in delinquency and a 31‑day grace period for non‑subsidized members in delinquency.
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If you have any questions about the payment options available to your customers, please contact your AmeriHealth New Jersey broker representative.
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