800-843-6054     Korean   Spanish
What’s a Grandfathered Plan?


What’s a Grandfathered Plan?

Ryan Lucht

Ryan Lucht

Associate partner at ChurchWest.
Ryan Lucht

Latest posts by Ryan Lucht (see all)

Grandfathered plans are plans that were purchased before March 23, 2010.

These plans have a grandfathered status and don’t have to follow Obamacare’s rules and regulations or offer the same benefits, rights and protections as new plans. This means that on many old plans you can still be dropped form coverage for reasons other than fraud, be denied treatment for preexisting conditions, face annual and lifetime dollar limits and more.

If you like your grandfathered health plan, you can keep it. However, if your plan loses grandfathered status you may have to upgrade to a new plan that meets the requirements of the Affordable Care Act (ObamaCare). In most cases your health insurance provider will make you aware if you have to switch plans for 2015.  Want to see how the carriers are handling grandfather plans?  Here’s a guide on how each of the main health insurance companies in California is handling their plans.  The format is a little tough to read, but let us know if you need help figuring out where you plan is.

If you thought you were “dazed and confused” with Grandfathering, wait till you have to wrap your mind around Grandmothering! On July 7, 2014, California Governor Brown, signed SB 1446, which allowed certain small groups to keep their existing plan for 1 more year! You’re able to delay moving to a new ACA metallic plan for at the very least, 1 more year. Who knows what the future of the health insurance world will hold, but if you have questions on wanting to know if you can Grandmother your plan, please contact our benefits team and we’ll assist in any questions you may have. Maybe next year we’ll be adding Aunts, Uncles and Cousins to all of this, and truly complete the family tree of health insurance!

Confusing?  You betcha.  Our benefits team can provide clarity and walk you through this.

Oh, and if you haven’t already applied for the religious employer exemption, as your agent, we can manage that for you too.