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Kaiser Permanente Now Offers Coverage to PEO Subgroups

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Posted: January 28, 2019 by Staff Writer

Word & Brown received the following announcement from Kaiser Permanente®. Your Word & Brown representative is ready to help you with all of your Kaiser Permanente business.

Kaiser Permanente revised their policy, and is now offering coverage to small groups with a professional employer organization (PEO) agreement — effective NOW.

Who Qualifies
Employers must meet all small group underwriting guidelines for Kaiser Permanente, including:

  • A group must satisfy the small group size requirement (1-100 eligible employees) by combining directly employed individuals and co-employees (leased employees).
  • A group may not allow co-employees to choose between coverage through the group or coverage through the PEO. However, the group can offer Kaiser Permanente alongside another carrier that isn’t available through the PEO.

Co-employees must be employed full-time to be eligible.

Required Documentation
Enrollees may be listed on the group’s DE 9C (for direct employees). Co-employees must be listed on the PEO’s DE 9C, and the group must provide one of these documents in addition to the standard required documents:

  • A copy of the group’s PEO payroll subgroup or 3 months of recent invoices showing the PEO, subgroup name, and co-employed individuals
  • For start-up groups, a copy of the group’s PEO payroll subgroup or 4 weeks of recent invoices showing the PEO, subgroup name, and co-employed individuals

 

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