Termination of Employer Group. 7.4.1 Nonpayment. Payment is due in accordance with Section 5.1. If Employer Group fails to pay the full amount due by the end of the Grace Period as described in Section 5.1, then Plan may cancel this Agreement and terminate the rights of the Members involved. Such rights may be reinstated only in accordance with Section 7.4.2. Plan shall continue to provide Benefits to the Members until the effective date of cancellation. If Members are hospitalized on the effective date of cancellation, then Plan shall continue to provide Benefits for the remainder of the hospital stay, if such Members continue to pay all applicable Premiums and Copayments, unless the Member(s) become covered earlier under other group or COBRA coverage. Plan shall issue to Employer Group a 30-day advance written notice of prospective cancellation (i.e., a Notice of Start of Grace Period) if payment is not received by the due date set forth in Section 5.1. If full payment for the unpaid, invoiced Premiums is not received by 11:59 p.m. on the last day of the Grace Period, then Plan shall issue a Notice of End of Coverage to Employer Group and to all individual Members of Employer Group.
Appears in 4 contracts
Samples: Sharp Health Plan Group Agreement, Sharp Health Plan Group Agreement, Sharp Health Plan Group Agreement
Termination of Employer Group. 7.4.1 Nonpayment. Payment is due in accordance with Section 5.1. If Employer Group fails to pay the full amount due by the end of the Grace Period as described in Section 5.1, then Plan may cancel this Agreement and terminate the rights of the Members involved. Such rights may be reinstated only in accordance with Section 7.4.2. Plan shall continue to provide Benefits to the Members until the effective date of cancellation. If Members are hospitalized on the effective date of cancellation, then Plan shall continue to provide Benefits for the remainder of the hospital stay, if such Members continue to pay all applicable Premiums and Copayments, unless the Member(s) become covered earlier under other group or COBRA coverage. Plan shall issue to Employer Group a 30-day advance written notice of prospective cancellation (i.e., a Notice of Start of Grace Period) if payment is not received by the due date set forth in Section section 5.1. If full payment for the unpaid, invoiced Premiums is not received by 11:59 p.m. on the last day of the Grace Period, then Plan shall issue a Notice of End of Coverage to Employer Group and to all individual Members of Employer Group.
Appears in 1 contract
Samples: California Health Benefit
