How does an employer-imposed waiting period affect a break in coverages?
For individuals who change jobs and incur an employer-imposed Awaiting period@ before benefits are available them, that waiting period does not count as a break in coverage and will not jeopardize the 63 day break in coverage limit. (For example, if a group requires their employees to wait three months before his/her health coverage is effective, this three (3) month wait does not cause a “break” in coverage and would be credited toward any preexisting condition waiting period the group may have.) What about maternity benefits? No preexisting condition waiting periods are allowed for maternity benefits for covered members enrolled in a group policy. In addition, preexisting condition waiting periods cannot be applied to a newborn or adopted child under age 18 as long as the child became covered under the health plan within 30 days after birth or adoption. We sometimes apply permanent health exclusions to individual members in a group. What happens to this policy? The policy of applying
