Important Information about the CDA Endorsed Medical Benefit Plan

Jennifer Goodrum Featured News

October 15, 2010

The CDA Medical Benefit Plan recently made a decision to terminate self-funded benefit plans effective November 30, 2010. The Colorado Dental Association would like to take this opportunity to address several common questions and concerns from CDA members about this announcement.

The CDA Medical Benefit Plan was endorsed by the CDA, but not operated or run by the CDA. The Medical Benefit Plan operates under a separate board of directors, which made a decision to terminate the plan based upon the significant losses they continued to have, the inability to find a “stop loss” carrier willing to underwrite the program and the realization the plan would need to increase premiums by 47% in order to continue. This decision was made solely by the Medical Benefit Plan Board (whose board members have medical insurance coverage through the plan and will also be losing their coverage). Once the Board made the decision to terminate, the CDA advocated for notice to be sent to the plan participants quickly to give participants sufficient time to find alternative coverage. Initially, the Medical Benefit Plan Board was going to terminate the plan effective October 31. However, the CDA helped delay the date to November 30 to give members additional time to act and address this change.

In addition, as this decision was being made, the CDA spoke with several health insurance companies and attempted to find at least one alternative medical insurance carrier willing to provide coverage to plan participants as a benefit to CDA members. Unfortunately, no carriers were interested. The CDA then turned to COPIC Financial Service Group to see if they would be willing to help “broker” plan participants into alternative insurance coverage. COPIC Financial Service Group has graciously offered to assist our members on short notice and help them with placement into alternative medical insurance coverage. In many cases, we understand that premiums have actually decreased as a result of this change.

Please be aware that it takes time to change medical insurance carriers and allowing your coverage to lapse can result in significant barriers when seeking new coverage (e.g., denials based on pre-existing conditions, etc.). Also, since the plan is terminating, there is no COBRA continuation of coverage available. If you are currently covered by the following CDA Medical Benefit Plans:

  • $1,250 Deductible Plan
  • $2,500 High Deductible Health Plan
  • $3,000 Deductible Plan
  • $5,000 Deductible Plan
  • $10,000 Deductible Plan
  • Outlook PPO Plan

it is essential that you take action today to find alternative healthcare coverage.

For assistance with new plan options, COPIC Financial Service Group has been briefed on this transition and is willing to assist you. Please contact Wendy Heckman at COPIC Financial Service Group at 720-858-6285. COPIC Financial Service Group does not have access to lists of Medical Benefit Plan participants; thus, they are unable to assist unless they are contacted directly by participants. The CDA endorses COPIC Financial Service Group for health insurance products; however, you are welcome to use any licensed Colorado insurance broker to find alternative coverage.

If you have questions about the termination decision, please contact CNIC Health Solutions, the Medical Benefit Plan administrator, at 303-770-5710.