Common use of Payments and Adjustments Clause in Contracts

Payments and Adjustments. All parties agree to promptly notify the others upon becoming aware of an incorrect payment amount, and to promptly remit any amounts overpaid. If the amount the Employer Member pays to UHS for both Service Fee and premium related to the Medical Benefit Plan(s) purchased by Employer Member via the Policyholder is less than the amount billed by UHS, the amount forwarded to the Service Provider will vary in direct proportion to the difference in the amount paid compared to the amount billed. This variation will apply regardless of the basis used for calculating the Service Fee, including a percent of premium, a set amount per enrolled employee, per month, or a set dollar amount per month. UHS may recover overpayments from Service Provider by offsetting the overpayment against any other compensation due to Service Provider by UHS. Service Fees will be subject to garnishments and any other legal attachments as required by a legal court order or similar action. If the Service Fee Rate is determined by the number of enrolled employees according to a Service Fee Schedule, the Service Fee Rate for that Employer Member, will be based on the number of enrolled employees at the time that United enrollees the Employer Member in the AHP, and will not change. The Service Fee Rate or Service Fee Schedule may be modified by the Policyholder on a prospective basis only. UHS must be informed of the change in writing, including the date that the change will be implemented (which must be at least thirty (30) days from the date of such notice to UHS). UHS will notify Employer Member and Service Provider in writing that it will implement the change on the date requested; provided, however, that UHS has the right to designate a date subsequent to the date requested if, in its reasonable judgment, UHS believes that such a delay is necessary.

Appears in 4 contracts

Samples: Billing and Collection Agreement, Member Level Billing and Collection Agreement, Billing and Collection Agreement

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