A Summary of Benefits & Coverage (SBC) is required starting the first day of the first plan year after September 23, 2012, or the first day of the first open enrollment period after this date. Health insurers and group health plans must provide the SBC and the Uniform Glossary to consumers.
Please note that the SBC:
- May be provided electronically in connection with online enrollment or renewal but must provide the option to receive a paper copy.
- SBC can be displayed on a single webpage
- Must be provided no later than 7 business days after receiving a “substantially complete” application in individual market or for group health plan/sponsors,
What is the penalty?
Up to $1,000 per instance of willfully failing to provide required information.
*During the first year of applicability, there are no penalties on plans and for issuers that are working diligently and in good faith to comply with the final regulations.
