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Broker News | May 2017 | Vol. 12 No. 5B
Broker News | May 2017 | Vol. 12 No. 5B

Medicare Advantage Payments 

Your clients can make their Medicare Advantage premium payments electronically by completing an Electronic Funds Transfer (EFT) authorization form or the “Premium Payment Option” section of the Medicare Advantage Plan Enrollment Application. 

EFT Payments
All drafts require a voided check with EFT authorization and occur the fourth day of the month. How long before this takes effect? It depends on the timing of the request:

  • At time of Enrollment: The EFT request must be processed prior to the plan effective date, and the first premium draft will occur on the fourth day of the month the plan becomes effective.
  • After plan effective date: premiums must be paid current, or accompany written/verbal authorization to draft total premiums due (including any past due amounts). Premium draft will occur the fourth day of the next month.

Social Security Administration (SSA) Deductions
Auto deduction from the client’s SSA benefit check may take two or more months to begin after approved. During this time, we’ll send a paper bill for premium payment until the deduction is processed. If not approved, we’ll send a paper bill unless an alternate billing method is requested and processed.

Please note, deductions will NOT occur if:

  • Deduction/premium is greater than $300
  • Deduction/premium is greater than their Social Security Check
  • The beneficiary is enrolled in the EPIC fee plan


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