Connecticut Life Producer Practice exam

Which of the following is true regarding the handling of claims during the conversion period?

1. All claims are denied.

2. Claims are managed according to the group policy terms.

3. Claims are subject to higher premiums.

4. Claims can only be filed online.

The correct answer is: Claims are managed according to the group policy terms.

The handling of claims during the conversion period is correctly represented by stating that claims are managed according to the group policy terms. During a conversion period, individuals who are moving from group insurance to individual coverage often experience certain protections and provisions that are outlined in the group policy. This means that any claims submitted during this timeframe will be evaluated and processed based on the specific terms and conditions that govern the group policy in effect before the individual transitioned to a new policy. The group policy usually dictates important aspects such as eligibility for coverage, benefits available, and the procedures for filing claims. Therefore, claims aren’t arbitrarily denied or subject to increased premiums purely because they occur during the conversion period; they are looked at within the framework established by the group policy itself. This ensures a level of continuity of care and that individuals retain certain rights to benefits already obtained under the group coverage.