Evidence of Insurability and Guaranteed Issue Configuration
What is Evidence of Insurability?
Sometimes referred to as medical underwriting or proof of good health. EOI is typically a part of the life or disability insurance application process. Employees who elect this insurance may have to complete a form with questions regarding health, gender, height, weight, tobacco status and physical condition. A medical underwriter reviews applications and determines if applicants meet acceptance standards of insurance requested.
What is Guaranteed Issue?
The option to purchase a selected amount of insurance without EOI. This specified amount determined by the insurance company is called guaranteed issue. The insurance company is stating to the applicant that they are allowed a selected amount of insurance no matter what their income, age, gender or medical history on initial offering.
Here’s everything you need to know about the update.
What you can look forward to:
- The EOI updates will allow administrators to configure benefit plans more completely.
- Therefore, reducing the risk of an employee being offered the incorrect amount of coverage as well as decreasing manual intervention by the administrator to ensure proper EOI/GI rules are being followed.
Does this update affect all users or users within specific modules?
The EOI updates will affect Administrators that configure benefit plans that have EOI.
When is this change happening?
This change will be released with our September 15th, 2018 Release.
Is there any action required?
- There is no action required by users, the new EOI configuration will be available immediately on the EOI Rules tab for each plan.
- Current EOI configuration will be copied into the new format as part of the release to maintain current functionality.
The EOI setup remains at the plan level on the EOI Rules tab, but EOI setup has been updated to be a series of questions that will guide administrators through EOI configuration for each plan and Life Event(s).
Additionally, the EOI configuration can be applied to each event. Previously, EOI configuration was available only for the New Hire event, Open Enrollment event and ‘All Other Events’ only, but now EOI configuration can be applied, or copied, to any individual event(s).
There is also an option to apply the same EOI configuration to all events.
EOI Configuration has been enhanced to be able to accommodate the following scenarios:
- The configuration of Guarantee Issue (GI) and Allowed Increase Amount based on age.
- The configuration of different Allowed Increase Amount based on the GI amount.
- Ability to apply a single EOI configuration to all events.
- Ability to copy EOI configuration to another event(s).
A new EOI configuration report has also been created to capture the new EOI configuration and present it in a single report for the administrator to review.