Under a transitional policy outlined by former President Obama and approved by the Hawaii Division of Insurance in 2013, health insurers are able to continue coverage that would otherwise be terminated, cancelled or modified as a result of the Affordable Care Act (ACA) compliant policy and rate structure. Since then, CMS announced a number of extensions to this transitional policy, and HMAA has chosen to provide this additional flexibility to our clients.

  • On March 5, 2014: Extended to policies renewed on or before October 1, 2016.
  • On February 29, 2016: Extended provided that all policies end by December 31, 2017.
  • On February 23, 2017: Extended provided that all policies end by December 31, 2018.
  • On April 9, 2018: Extended provided that all policies end by December 31, 2019.
  • On April 30, 2019: Extended provided that all policies end by December 31, 2020.

HMAA small businesses whose health plans are affected by the transitional policy (also called “grandmothered” health plans) have been notified about their ability to maintain their current coverage.

This does not impact all HMAA clients. You are a grandmothered group affected by this transitional policy if your business:

  • Has 50 or fewer full-time equivalent employees;
  • Is not currently enrolled in a grandfathered health plan; and
  • Obtained HMAA coverage before October 1, 2013.

If you are an HMAA group that is not affected by this transitional policy, you do not have to do anything at this time, and we will contact you prior to your next scheduled renewal.