Grace Period – Health
On April 9, 2020, Governor Murphy also issued Executive Order No. 123 (“EO 123”). EO 123 directed carriers to refrain from cancelling any policy or contract for nonpayment for a period of time, to exercise appropriate forbearances on collection documentation, to amortize any unpaid payments, and to refrain from seeking recoupment of any unpaid claims paid during the emergency grace period. The Department of Banking and Insurance (“Department”) is issuing this Bulletin to provide required guidance to health carriers, dental service corporations and dental benefits organizations (“carriers”) to remove possible barriers to coverage and accommodate their covered lives given the circumstances related to the COVID-19 pandemic. The following guidance is effective immediately and continues for the duration of the state of emergency and public health emergency declared pursuant to EO 103 and EO 119. The Department will continue to review this guidance during the duration of EO 119 to ensure consumers receive the intended relief.