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BN - Benefits Billing Delinquency Report
Once an employee is enrolled in Benefits Billing, they are invoiced on a monthly basis. If an employee does not remit payment by the due date, they will be listed on the Delinquent Accounts Report. This procedure covers how to work the Benefits Billing Delinquency Report and what action is required by the institution due to non-payment or the employee's decision to let coverage end.
- Benefits Billing statements are created, printed, and mailed on a monthly basis around the 20th by the UWSS. The billing statements will be stored in Cypress for 3 months.
- Payments are due by the 10th of the month prior to the coverage month. If late invoicing, the 10th of the month following the first invoice.
- If payment is not received by the 14th of the month, it is considered delinquent.
- Automated Delinquency Notices will be created, printed, and mailed on the 15th of each month by the UWSS centralized process.
- An employee’s insurance will be cancelled for non-payment of premium if premiums are not paid timely. If the insurance is cancelled, the employee may only have their insurance reinstated if they make payment in full within the grace period, which is normally 30 days from the last paid through date.
- An employee on a leave of absence will have their insurance lapsed for non-payment if premiums are not paid timely. If the insurance is lapsed, the employee will have 30 days from return to work to submit applications to their institution to restore their insurances.
RESPONSIBILITIES OF THE INSTITUTION
- Common Action Plans institution can respond with include:
- Paid in Full (Employee)
- Cancel/Lapse (if not paid)
- Payment Plan (please explain what the payment schedule is)
- Take by Payline
- See WiscIt (add WiscIt #)
- When reviewing the employee, look to see if a payment has been made or if there's been any insurance or job data changes by review the following HRS screens:
- Review Employee Balances: Main Menu > Benefits > Benefits Billing > Manage Acct Status and Balance, enter Empl_ID and click Search
- Enroll In Billing: Main Menu > Benefits > Benefits Billing > Manage Acct Status and Balance, enter Empl_ID and click Search
- Job Data: Main Menu > Workforce Administration > Job Information, enter Empl_ID and click Search
- Insurance Enrollment screens/Base Benefit Pages: Main Menu > Benefits > Enroll In Benefits, enter Empl_ID and click Search
GENERAL INFORMATION THAT WILL BE PROVIDED TO THE EMPLOYEE
If the insurance is lapsed for non-payment while on Leave of Absence (LOA):A Termination of Insurance letter will be sent to inform the employee of the effective date that their insurance(s) have been lapsed. If they are within the grace period, the letter will indicate the date the check must be received by the UWSS to restore their coverage. Otherwise, the employee has 30 days from returning to work from their LOA to submit applications to their institution to to restore their coverage(s). *If the insurance is cancelled for non-payment of premium by an active employee:A Termination of Insurance letter will be sent to inform the employee of the effective date that their insurance(s) have been cancelled, regardless of being within the grace period or not. If they are within the grace period, the letter will indicate the date the check must be received by the UWSS to restore their coverage(s). *If the insurance is cancelled for non-payment of premium by a terminated employee:A Termination of Insurance letter will be sent to inform the employee of the effective date that their insurance(s) have been cancelled. More than likely, in this situation, the grace period has expired. The employee will not have COBRA/Continuation rights since this is considered a voluntary cancellation even though they had received a COBRA Notice earlier. *
If the insurance is cancelled for non-payment of premium by a retiring employee:
If the employee has retired and has outstanding charges, the institution needs to let the employee know the consequences of not paying those charges.
If health insurance is cancelled, they will no longer be eligible for a certification of Sick Leave Credit, since the employee must be covered under an ACTIVE State Group Health plan at time of retirement.
If any other insurances are cancelled, they will no longer be eligible for continuation, even if they received a Continuation form. (This includes the State Group Life insurance plan.)
- Current date is March 30, 2020. The employee’s last paid through coverage month is 1/1/2020 - 1/31/2020 (1912 billing period). The grace periods have already expired, so the employee does not have reinstatement rights.
- Current date is March 15, 2020. The employee’s last paid through coverage month is 2/29/2018 (2001 billing period). The employee is still within the grace periods, so they have reinstatement rights if payment is received by March 31, 2020.
RESPONSIBILITIES OF THE UWSS BENEFITS TEAM
- The report will be split and emailed to each institution.
- The UWSS Benefits Team will add suggested actions in Column C “UWSS Comments”
- A copy of the notice will be placed in Cypress for 6 months.
Note: Terminated employees require the use of Correct History to cancel their insurances.
- If payment is not received timely, the insurance CANNOT be reinstated. The check will be returned to the employee and an email will be sent to the institution informing them of the final decision.
ADDITIONAL RESOURCESRelated KBs:
- BN - Benefits Billing Printing a Manual Invoice
- BN - Benefits Billing Enrollment
- BN - Benefits Billing Charge and Payment Review
- BN - Benefits Billing Requesting Refunds
- BN - Review Benefit Enrollments
- UWSS Benefits Billing Landing Page
- UWSHR Leave of Absence Website
- Benefit Billing: Coverage Lapse for Non-Payment, Payment Grace Periods and Reinstatement of Coverage Provisions for Active Employees
- Benefits Billing Delinquency Detailed Job Aid
- Benefits Billing Delinquency Notice - Sample (stored in Cypress)
- Benefits Billing Termination of Insurance Letter - Sample