What is a free-look period?
The plan brochures that you review when shopping for health insurance provide only an overview of the policy details. The actual policy, referred to as your “evidence of coverage” guide, will be much more detailed. Most insurance companies will not send you a copy of the evidence of coverage until you are approved as a plan member and received your insurance ID cards. Although these policy details may be confusing to most people, they are the actual contract that binds you and the insurance carrier to the terms of your agreement. If you do not understand any part of this policy contract, you may contact the insurance company for an explanation. If, upon review of your policy details, you are not satisfied with the terms of this contract, you may return the policy to the insurance company and receive a full refund on your initial deposit. The issuance of coverage will be reversed and it will be as though you never applied for coverage and received approval from this insurance company. This action will not be part of your medical history or reported to the Medical Information Bureau. Free look periods are not typically offered on employer sponsored group health plans policy contracts. This is because the contract for insurance is between the employer and the insurance company. The employee receives a copy of the policy details upon enrollment, but there is no free look option provided to that employee. If you are an employee and want to review your coverage details in advance, ask your employer for a copy of the policy details as provided in the evidence of coverage. 1 CommentLeave a comment |
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What is a free-look period?
Also known as the free examination period, this is the length of time you have to review your new health insurance policy and return it for a full refund if it does not meet your expectations. This free-look period begins on the day that you receive your policy in the mail and is most commonly set at 10-days. Some types of health plans, such as Medicare Supplemental plans, are required to provide a 30-day free look period by law. But for most types of health plans, there are no legal requirements for the insurance company to provide you with this examination option. If you are applying for new health insurance, always inquire about the free-look period. If that company does not give you the option to review your coverage details, you might consider alternative options.
Hi. I searched for Medicare supplemental insurance and landed here, I was wondering if you could help me? My dad is 71 years old and has Medicare. He takes a lot of prescription medicine, but did not sign up for part D, so now being well into the new year it is too late for him to do this year. He now has to pay full for everything up to $2500. We looked around for a prescription plan and found one online that said he could save 75% of his expenses of prescription medicine. But when we talked to the pharmacist he talked my father out of it. He said that he wouldn’t really save that amount as it was only applied to the ‘gap’ and not the total $100. I am not sure if they just want the money upfront or what? Can you recommend a Medicare supplemental insurance for my father?
Comment by Edith — June 12, 2009 @ 1:12 am