California Brokers: Automatic Bank Draft Update

For California Individual & Family Plan (IFP) Existing Members

We are notifying 2014 IFP members currently on automatic bank draft (ABD) to let them know what they need to do (if anything) to maintain ABD for their 2015 health coverage.

 

Members on an off-exchange HMO or PPO plan

Their ABD will continue if they have a Health Net IFP plan for 2015. The date of their bank draft for their January 2015 premium has been changed from December 20, 2014, to January 5, 2015. February and future months will remain the same – the 20th of each month prior to the coverage month. For example: January 20 for February, February 20 for March, etc.

 

Members on a marketplace HMO plan

  • Their ABD will continue if they remain on a Health Net of California, Inc. HMO plan for 2015. The date of their bank draft for their January 2015 premium has been changed to January 5, 2015. February and future months will remain the same – the 20th of each month prior to the coverage month. For example: January 20 for February, February 20 for March, etc.
  • Members will need to sign up for ABD again for 2015 if:
    • they enroll on a 2015 Health Net of California, Inc. HSP plan or a Health Net Life Insurance Company EPO insurance plan; or
    • they received a tax credit in 2014 but won’t in 2015.

The later draft date for the January 2015 premium will help avoid adjustments/refunds for those members who are choosing another plan or carrier.

Samples of the member letters are attached for your reference. If you have any questions, please contact your account executive or email brokers@healthnet.com.

 

Sample CA IFP PPO ABD Date Change

Sample CA IFP HMO ABD Date Change Letter

Sample CA IFP Exchange HMO ABD Letter

 

Health Net Individual & Family HMO and HSP plans are offered by Health Net of California, Inc. Health Net Individual & Family EPO insurance plans, Policy Form #P34401, and PPO insurance plans, Policy Form #P30601, are underwritten by Health Net Life Insurance Company. Health Net of California, Inc. and Health Net Life Insurance Company are subsidiaries of Health Net, Inc. Health Net is a registered service mark of Health Net, Inc. All rights reserved.

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Susan Peters