Aetna to resume offering child-only policies in California and Kentucky

To comply with recent state regulations, Aetna will resume offering new business sales of our child-only policies to applicants (under the age of 19) for Aetna Advantage Plans for Individuals, Families and the Self Employed in CA and KY.

Why are they making this change?
In the fall of 2010, Aetna stopped offering new child-only policies in response to the market changes brought about by the guaranteed issue provision in PPACA for applicants under 19. Since then, states have been working to put in place regulations that could help mitigate the risk of adverse selection, mostly by limiting applications for coverage to annual open enrollment periods. Aetna has been working closely with a number of states on this issue, including California and Kentucky. To comply with new regulations that have been passed in CA and KY, Aetna is re-entering the market for these policies in those two states.

States affected
Aetna will resume new business sales of child-only coverage in the following states for Aetna Advantage Plans for Individuals, Families and the Self Employed: California and Kentucky.

As a reminder, in the following states Aetna discontinued sales of child-only coverage for Aetna Advantage Plans for Individuals, Families and the Self Employed on 10/1/10: AK, AR, AZ, CO, DC, DE, FL, GA, IL, IN, KS, LA, MI, MO, MS, NC, NE, NV, OH, PA, SC, TN, TX, VA, WV, and WY.

To administer the coverage correctly in California and Kentucky, Aetna must adjust our underwriting and enrollment processes to administer the newly created open enrollment periods, as well as other eligibility provisions in the state regulations.

At this time, for administrative purposes, they are accepting only paper applications for child-only policies in CA and KY. In addition to the application for a child-only policy in CA or KY, a completed attestation of child's eligibility form is required.

No impact to existing child-only policies
Existing policyholders will not be impacted by this action and they may continue their current coverage. These policies are renewable