When a group health plan changes insurers mid-year, which of the following statements is NOT true?

The statement that employees must be fully reimbursed for unearned premiums is not true in the context of health insurance changes when a group health plan transitions to a new insurer. Typically, unearned premiums refer to the amount of premium that has been paid but not yet used to cover a specified period of insurance coverage. Upon switching insurers, any unearned premium is generally handled by the previous insurer according to their refund policy, but it does not directly involve reimbursements to the employees in the way that deductibles, copayments, or notification of coverage changes do.

On the other hand, when a group health plan changes insurers mid-year, employees are entitled to be credited for the expenses they have incurred toward their deductible, ensuring continuity in their coverage and minimizing disruption in their health benefits. This ensures that employees do not lose out on their progress toward meeting their deductible just because the insurer has changed. Additionally, all costs such as copayments that employees have paid should similarly be recognized to maintain fairness and continuity in their health plan benefits. Furthermore, notifying employees of coverage changes is a fundamental requirement to ensure that they are fully aware of their benefits and can make informed decisions about their healthcare.