Members Health Plan will be winding down operations
Posted on July 13, 2021
Members Health Plan of New Jersey is ceasing to write business and is beginning an orderly wind down of the Plan.
See below from Members Health Plan regarding winding down.
MHPNJ IMPORTANT PLAN INFORMATION PLAN STATUS AS OF 7.12.21
We want to take the time to let you know that we value the support that you have provided to Affiliated Physicians and Employers Master Trust (“APEMT”) and Members Health Plan New Jersey (“MHPNJ”) over the years. This letter is to advise you that the APEMT/MHPNJ (the “Plan”) is ceasing to write business and is beginning an orderly wind down of the Plan. The financial deficiency the Plan has been facing for the past several months has not been sufficiently cured in the time period prescribed by New Jersey law. Therefore, the Board of Trustees on behalf of the Plan is implementing an orderly wind down of the plan. Please be advised that your client(s) must terminate their coverage with the Plan and seek new healthcare coverage for their employees and dependents as soon as possible.
Please note, All active employers enrolled in the Plan will be receiving a similar letter later today informing them of the wind-down plan. Click Here for a copy of the Employer Letter.
Effective immediately, the Plan is providing notice that it is discontinuing its Broker Commission Program per Section II (a) and (g) of our Broker Agreement. All commissions will be subject to the priority scheme detailed in the Bankruptcy Code (11 U.S.C. § 101 et seq).
Click Here for Additional Broker Update provided by the Plans Bankruptcy Attorneys. If you are a General Agent, please forward this communication as well as the information related to proof of claim to your contracted sub-producers.
What is the impact of the wind down to you and your client(s) who may be currently enrolled in the Plan’s benefit programs?
It is important to note that until your client(s) termination date with the Plan (no later than December 31, 2021) the Trust cannot guarantee that claims for their employees and dependents will continue to be paid until we have collected the full assessment necessary to run out the program. Therefore, we would encourage you to have your client(s) find other coverage as soon as possible and are relaxing our 60 day termination notice requirements to allow for notice of termination at any time prior to the termination date. We will not accept retroactive terminations, so ensure paperwork is provided to the Trust prior to the termination date.
While APEMT will be in a position to continue to administer the Plan, assist members and employees, and attempt to minimize damage and inconvenience , it is prudent to seek alternate coverage as soon as possible. As we are receiving a large volume of calls related to this issue, we would direct you to the plan’s website for additional information. Should you need to speak with a plan representative, please feel free to contact the Plan by calling 1-833-MEWANOW (1-833-639-2669) Option 8 or mail us at MHPNJinfo@concordmgt.com.
For regulatory questions or should you need any support in finding other coverage, please contact the New Jersey Department of Banking and Insurance at 1-800-446-7467 or 609-292-7272. For more information on alternative coverage options for small employers visit www.state.nj.us/dobi/seh/. For information on individual coverage, individuals can visit: GetCoveredNJ
We thank you for your loyalty and trust in our Plan over the years.
Very truly yours,