{"id":254,"date":"2013-04-09T11:53:03","date_gmt":"2013-04-09T15:53:03","guid":{"rendered":"http:\/\/www.hnetalk.com\/Employer\/?p=254"},"modified":"2013-04-09T11:53:03","modified_gmt":"2013-04-09T15:53:03","slug":"cobra-direct-billing-vs-individual-billing","status":"publish","type":"post","link":"http:\/\/hnetalk.com\/employer\/2013\/04\/09\/cobra-direct-billing-vs-individual-billing\/","title":{"rendered":"COBRA: Direct Billing vs. Individual Billing"},"content":{"rendered":"

\"\"<\/a>An employer must notify an employee of their <\/span>Consolidated Omnibus Budget Reconciliation Act<\/strong> (COBRA) rights when there is a COBRA-qualifying event such as a voluntary or involuntary termination of employment for reasons other than gross misconduct\u00a0 or reduction in the number of hours of employment<\/span><\/p>\n

The employer is responsible for providing HNE with the termination date from the active plan. You can process this transaction on HNE Direct. The employer also must notify HNE if the employee has elected COBRA. NOTE: COBRA reinstatements cannot be processed on HNE Direct. A non-COBRA reinstatement of coverage can be processed on HNE Direct.<\/p>\n

HNE offers two ways to COBRA bill:<\/strong><\/p>\n

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  1. Direct COBRA Billing<\/strong>: If you are set up for Direct Bill COBRA and receiving a bill for your COBRA participants, you will be expected to collect the premium and submit to HNE. The bill will have a separate division for COBRA participants.<\/li>\n
  2. Individual COBRA billing<\/strong>: If you are set up with Individual Bill COBRA, the premium invoice will go directly to the COBRA participant. You are not responsible for collecting the premium.<\/span>http:\/\/03c4283.netsolhost.com\/employer\/wp-content\/uploads\/2013\/04\/137305620.jpg<\/a><\/li>\n<\/ol>\n

    Please note: HNE is not a COBRA Administrator. HNE provides COBRA billing options, but COBRA administration remains the employer\u2019s responsibility.<\/em><\/strong><\/p>\n

    If you are interested in changing to an Individual Bill COBRA arrangement, contact your Sales Account Executive to assist you. You can make this billing change only during your annual anniversary period.<\/p>\n

    If you need further information about COBRA, the Employee Retirement Income Security Act (ERISA) or the Health Insurance Portability and Accountability Act (HIPAA) you can get that information in any of the following ways:<\/p>\n