State RegulationsFL specificDifficulty 2/5
A Florida small employer's group health policy is about to expire, and the insurer does not want a grace period to apply at expiration. Under Fla. Stat. 627.608, this result is achieved when the insurer:
Select an option to reveal the answer and the full 3-part explanation — free, no signup.
Answer & full 3-part explanation (select an option above, or peek)
Why A is correct
Under Fla. Stat. 627.608, health policy grace periods run by mode of premium, 7 days for weekly modes, 10 days for monthly modes, and 31 days for all other modes, but no grace period applies where the insurer delivered at least 30 days' written notice of nonrenewal before the policy expired. For a small employer group, that advance written notice is what legitimately ends coverage at expiration; a phone call, notice to the wrong party, or an after-the-fact filing will not do it.
Why the other options are wrong
- B) A telephone call on the expiration date is neither written nor advance notice; it cannot defeat the statutory grace period.
- C) Notice must go to the policyholder employer; telling employees alone does not satisfy the written nonrenewal notice requirement.
- D) An after-the-fact filing with the Office of Insurance Regulation is not written notice of nonrenewal delivered before the policy expired.
Memory hook
No grace after a nonrenewal notice given at least 30 days ahead, in writing.