Got questions? We've got answers.
-
When is payment due?
Your AICK coverage is a prepaid life and/or disability plan. Your payment is due in our office on or before the first of the month for which you are being billed.
-
How do I remove someone from our billing?
Mark through the name of the person to be dropped from your bill and write the termination date to the side. You may deduct the premiums from your total or let us credit your next billing.
-
Why did an employee’s benefit decrease on our current billing?
One possible reason: Life and AD&D benefits are subject to an age reduction schedule. Please refer to your policy for more details.
-
Why haven’t I received our billing yet?
AICK does not send out a billing until the prior month’s billing has been paid. If your premium was current, the billing notice may have been lost in the mail. Or, if you have moved in the last year contact us to verify that we have your most current address (in case the forwarding order has expired).
You may want to consider switching to eBilling, our online billing system, and turn off your paper bill. (No more lost bills!) eBilling offers 24/7 viewing and payment activity, online bill payment and more.
It is your responsibility to make sure premium payments are timely and current; if there is any doubt as to the status of your current billing and/or the current paid-to date, we urge you to contact us.
-
We received a delinquent letter indicating our premiums have not been paid and we sent in a check, what do we do?
If you believe the notice of premium due and your payment may have crossed in the mail, you may either disregard the notice or call our office to see if we did indeed receive your check.
-
There are adjustments on our billing and I do not understand what they are for?
Please call our office and speak to your Policyholder Representative for assistance. Your Policyholder Rep’s name is printed at the top of your billing.
-
If we cannot pay our billing on or before our due date, how long do we have before the coverage is canceled?
Your AICK coverage is a prepaid plan due in our office on or before the first of the month for which you are being billed. If premium is not received at AICK by the due date, a grace period of 31 days is allowed; however, coverage will be terminated as of the paid-to-date if payment is not received by the end of the 31-day grace period.
-
Why do you send one copy of the billing statement each month?
A paper copy is sent for your records. Any adjustments to the billing should be marked on a copy and returned to AICK with your payment. Please be sure to return the payment stub with your payment.
You may want to consider switching to eBilling, our online billing system, and turn off your paper bills. eBilling offers 24/7 viewing and payment activity, online bill payments and more. (Save more trees!)
-
Can we pay our premiums online or by credit card?
Premiums can be drafted directly from your bank account so that you don't have to write out a check and mail it to us. Download the Automatic Payment Authorization form from our Forms section and send it to us by fax or mail.
You may want to consider switching to eBilling, our online billing system, that offers 24/7 viewing and payment activity, online bill payments and more.
-
Who is eligible for coverage?
Refer to your policy or call Advance Insurance Company of Kansas at (toll-free)1-800-530-5989 or (locally in Topeka)785-273-9804.
-
Are all employees eligible for Short Term Disability (STD) benefits?
Provided your group policy includes STD, and the employee is eligible for the coverage in all other respects as described by your policy, you need to be aware an insured must experience a loss of income while disabled to qualify for disability benefits. Owners, proprietors, partners, or shareholders or any other person who continues to receive some form of income during the disability are not eligible for STD benefits and should not be enrolled in this coverage.
-
Can a husband and wife enroll in dependent life if the same company employs both?
Both husband and wife may cover the other as a dependent unless stated otherwise in your policy.
-
If an employee is terminating, can they retain the life coverage?
Employees have 31 days from the end of the month in which their group coverage terminates, or reduces due to age, to convert their life insurance. A "Notice of Conversion Privilege" form must be forwarded to AICK to request information with regard to a conversion policy. After 31 days, the employee may no longer be eligible for conversion.
You, as the Group Leader, are responsible for supplying the "Notice of Conversion Privilege" form to the terminating (or reducing) employee. Download the “Notice of Conversion Privilege” form from our Forms section.
-
What is a Guarantee Issue limit?
A Guarantee Issue (GI) limit is the largest amount of insurance an eligible person can enroll in without having to submit evidence of insurability. GI limits, when available, are generally offered at initial enrollment or when an employee is enrolling at first opportunity. An enrollment form containing medical questions will need to be completed by persons seeking a coverage amount greater than your group’s GI limit. AICK evaluates the enrollee’s health information to determine whether or not to approve the insurance exceeding the GI limit.
-
What do I do when an employee becomes disabled and cannot work?
Even if your benefit plan doesn’t offer disability coverage, you should contact our Claims Department with this information. The insured employee (and insured dependents) may be eligible for a Waiver of Premium on their group life insurance depending on the employee’s age and how long their disability lasts. The telephone number is (toll-free) 1-800-530-5989 or (locally in Topeka) 785-273-9804.
-
How do I enroll an employee and when should I submit the application?
Complete an application, have the employee sign and date it and send it to our office as soon as possible. The waiting period will be applied even if the application is sent in prior to the end of the company imposed waiting period.
It is important that we receive applications as soon as possible after the employee begins working for your company to avoid any late enrollee restrictions.
-
Why must the "hours worked section" be completed on the application?
In order to establish eligibility for an employee, the hours worked must comply with the group’s policy with Advance Insurance Company of Kansas. The hours worked is also necessary to calculate salary based benefits, if applicable.
-
Can I waive the company imposed waiting period on a new employee?
AICK will determine whether or not a waiting period may be waived for a new employee on an “exception only” basis. If your group wants to waive the Waiting Period for a new hire, you must:
- put the request in writing on your corporate stationery. It must be signed by either a corporate officer or the group leader; and,
- the correspondence requesting the waiting period be waived must be received with the enrollment form.
The request to waive the waiting period will be reviewed by AICK. If accepted, we will add the new employee to your billing with an effective date reflecting the entire waiting period was removed (we will not waive only part of the waiting period – it must be all or none). If we do otherwise, we will contact you.
We will not accept a request to waive the waiting period that is not accompanied by the employee’s enrollment form (no telephone requests, e-mail requests or retroactively requested after the enrollment form has all ready been received and processed by AICK).
-
Why is an "Evidence of Insurability" application required in some instances?
When the coverage is contributory (some portion of the premium is paid by the employee through payroll deduction), if the application is not received within 63 days after the employee completes the company imposed waiting period, the employee is considered a late enrollee and an "Evidence of Insurability" enrollment form will be required. Coverage will not be effective until the date of approval by Advance Insurance Company of Kansas. Evidence of Insurability may also be required if someone qualifies for a benefit higher than the Guarantee Issue (GI) limit.
-
Why did you return my employee’s evidence of insurability application for more information?
All questions on the form must be answered; and, if any are answered "yes", details must be given in the appropriate section of the application. We cannot review an incomplete application.
-
If an employee asks, how do I determine who was designated as beneficiary on the employee’s coverage?
Because this is confidential, we cannot provide you with beneficiary information over the telephone. You and your employee should have a copy of the application to look at. All beneficiary information is microfilmed or imaged; but it may require more than one day for it to be retrieved depending on the storage medium.
In the event of a claim, the most recent valid beneficiary designation is the one used to distribute the proceeds. Our receipt of a new Request for Change Form (AICK 5 in the Forms section) from the insured is the best way to assure that we have their most current beneficiary information on record.
-
Why hasn't my new employee been set up on the coverage yet?
It is possible that the application was never received at AICK. Please call your Policyholder Representative to check into the matter.
-
What do I do with the application and certificate I received on a new employee?
These documents need to be given to the employee for their records. A copy of their application is returned so they have a record of their designated beneficiary.
-
Can I submit applications at Open Enrollment time?
AICK does not have Open Enrollment on any benefits. See Questions 4 & 5 with regards to effective dates.
-
What if an employee refuses to enroll in the life insurance benefits when the employer pays for the coverage?
Since the benefit is non-contributory (employee pays no premium), we will still need an application for the employee in order to establish their coverage although it will be unsigned. Or we require the employee complete a waiver of coverage form and submit it to our office.
-
Why do I have to have all of our employees enrolled if our employer pays for it?
If the employer is paying 100% of the premiums, then we must have all eligible employees enrolled so that all employees are treated equally.
-
How does an employee change their designated beneficiary?
Have the employee complete and submit a Request for Change form, AICK 5. For more information, see "Beneficiary" in the Administration Manual found in the Manuals section.
-
Why do I have to keep filling out claim forms to get my disability benefits?
An abbreviated Continuance of Disability claim form is used to provide us with proof that you are receiving regular care from a physician and following the recommended treatment program. Our policy does not allow payment of benefits if you are not under the regular care of a physician.
-
When should I fill out the disability claim form, if I know I am going to be disabled?
Wait until you become disabled. If you have the form completed prior to becoming disabled, we will require proof from your physician that your disability began on the date that was anticipated.
-
How often do you send out disability checks?
Short Term Disability benefits are paid every two weeks. Long Term Disability benefits are paid monthly. All disability benefits are paid in arrears.
-
What tax liability is involved with receiving disability benefits?
We are required to deduct FICA tax from any disability payment for the first six months that an insured is disabled. The FICA deduction is based upon the percent of the premium that is paid by the employer. Disability benefits are also reportable income on W-2 forms.
-
Why do the premiums have to be paid before you will pay my claim?
We must be assured that the coverage is in effect when the disability began. Premiums must be paid through the month you become disabled.
-
Should the claim form be mailed or faxed to you?
On a disability claim, it is always quicker to fax the claim to us. It is not necessary to mail the original. If a claim for life insurance benefits is being sent in, we will need the original documents, and we do not advise that you fax the claim. Please feel free to call us to verify that we have received your claim form. Our toll-free number is 1-800-530-5989 and our fax number is 785-290-0727.
-
Where will my check be mailed?
It is our policy to mail STD checks to the employer, who is then responsible for delivering them to the employee.
LTD checks are mailed to the claimant (the employee) unless we have agreed to direct deposit the benefit to their checking or savings account. If the claimant is interested in direct deposit of the LTD check, please have them contact their Claims Specialist for more information.
Life insurance proceeds are normally sent to the employer, but we can handle them in a different manner if requested to do so.
-
Who will the check be made payable to?
All disability checks are made payable to the insured employee. Life Insurance proceeds checks are made payable to the beneficiary.
-
What is the average turn around time for STD, LTD, and death claims?
We ask that you allow us 7 to 10 days, from the date the claim is received, to process a claim.
-
How do we find out who the beneficiary is?
Because this is confidential, we cannot provide you with beneficiary information over the telephone. You and your employee should have a copy of the application to look at. All beneficiary information is microfilmed or imaged; but it may require more than one day for it to be retrieved depending on the storage medium.
In the event of a claim, the most recent valid beneficiary designation is the one used to distribute the proceeds. Our receipt of a new Request for Change Form (AICK 5 in the Forms section) from the insured is the best way to assure that we have their most current beneficiary information on record.
-
How do you decide if I am totally disabled?
The Attending Physician Statement portion of your claim form is our usual source of information. On occasion we may request additional information from your treating physician or your employer.
-
What is a renewal summary?
A renewal summary is a document that notified you of your rates for the upcoming year and is required to keep the policy in force. It is sent two to three months prior to your policy anniversary.
-
What is a Participation Audit Letter?
This is to ensure you are still administering the policy as it was originally sold and that no changes have been made to how you are administering your policy. It can be returned by mail, fax or email.
-
Why do you ask if any employees are not actively at work?
We want to make sure that if an employee is unable to work due to a disability or medical condition that they have been given all available options to continue their coverage.
-
How can I return the signed renewal summary?
It can either be returned by mail or fax or given to your Blue Cross and Blue Shield of Kansas group representative.
- The Federal Government has mandated that we deduct the employee's portion of the FICA tax from disability benefits. Generally, the FICA deduction is based upon the percent of the premium paid by the employer.
- If the employee pays 100% of the premium, and does not run these premiums through a pretax program such as a Flex Benefit, Cafeteria Plan, or a Section 125 program, the disability benefit is not subject to FICA tax, no tax is deducted, and the benefit does not have to be shown on the employee's W-2 form.
- If the employee pays any portion of the premium and does run the premium through a pre-tax program, the benefit is taxable at 100% and must be reported by the employer on the employee's W-2 form.
- If the employer pays 100% of the premium, the disability benefit is taxable at 100% for the FICA tax and all of the benefit must be included on the employee's W-2 form.
- If the employee and employer each pay a portion of the premium, the disability benefit becomes taxable according to the percent of the premium paid by the employer; and in turn, the taxable amount is to be included on the W-2 form prepared by the employer.
- The amount of FICA tax that is deducted from the disability check is the employee's share. It is the employer’s responsibility to match this amount and deposit it in an authorized financial institution.
- We pay the employee's share directly.
- After an employee has been disabled for six (6) months, the benefit is no longer subject to FICA tax and we stop the deduction. The employer is not liable for payment of the employer’s portion of the FICA tax. Even though FICA tax deduction has stopped, it does not change the taxability of the disability benefit for income tax purposes as reported by the employer on a W-2 form.
- If the employee returns to work, whether it is full time or part time hours for the same employer, the FICA withholding for the six (6) months starts over.
- We provide the employer with all the information they need to pay their share of the FICA tax and to complete the employee's W-2 form. A statement is sent with every check showing the amount of FICA withheld. We also send out a monthly summary just after the first of the following month and an annual summary shortly after the first of the year.
- Please reference IRS publications 15, 15-A and 15-B for additional details. These publications can be accessed from the IRS web site at www.irs.gov.
| Abbreviation | Description of Insurance |
|---|---|
| Life | Basic Term Life |
| AD&D | Accidental Death & Dismemberment |
| Dep Life | Dependent Life |
| Opt Life | Optional Life |
| Opt AD&D | Optional Accidental Death & Dismemberment |
| Vol Life | Voluntary Life |
| Vol AD&D | Voluntary Accidental Death & Dismemberment |
| Vol Spouse Life | Voluntary Spouse Life |
| Vol Spouse AD&D | Voluntary Spouse Accidental Death & Dismemberment |
| Vol Child Life | Voluntary Child Life |
| Vol Child AD&D | Voluntary Child Accidental Death & Dismemberment |
| STD | Short Term Disability |
| Vol STD | Voluntary Short Term Disability |
| LTD | Long Term Disability |
| Vol LTD | Voluntary Long Term Disability |
| Accident Emp | Voluntary Accidental Death & Dismemberment - Employee Only |
| Accident Fam | Voluntary Accidental Death & Dismemberment - Family |
| EAP | Employee Assistance Program |
-
What are the layoff provisions; how long can active coverage be continued following a layoff?
As long as premiums are paid, AICK will not be enforcing any work requirements on eligibility for coverage. We will re-evaluate the situation by March 31, 2021 and will communicate an update at that time.
-
If a group wanted to change their eligibility to include part-time, 20 hours per week, would AICK be able to immediately accommodate?
Employees who are currently eligible and enrolled in coverage as of March 16, 2020 may continue their active coverage, as long as premiums are paid, without working the group's required number of hours for coverage eligibility. We are not extending eligibility to include current part time employees or employees not previously working the required number of hours.
-
If a member is currently serving their waiting period and has not yet reached their effective date and are temporarily laid off / on furlough due to current events, how would this be handled? (not eligible until they return to work?)
Employees who are currently eligible and enrolled in coverage as of March 16, 2020, or an employee who has been in the process of working in order to meet their company imposed waiting period, may join active coverage at the regularly scheduled effective date. As long as premiums are paid, we will allow them to retain that coverage whether they are working the required number of hours or not. This policy will be re-evaluated March 31, 2021.
-
What is the policy for temporary relaxation of required number of hours for insurance eligibility?
Employees who are currently eligible and enrolled in coverage as of March 16, 2020 may continue their active coverage, as long as premiums are paid, without working the group's required number of hours for coverage eligibility. We are not extending eligibility to include current part time employees or employees not previously working the required number of hours.
-
Will the Coronavirus be covered under our Advance Insurance Company of Kansas short term disability policy if an employee chooses to apply? What is the process?
To receive benefits, an insured MUST be under the regular care of a physician and either diagnosed with the virus or ordered to be quarantine based on symptoms they are experiencing or actual exposure to the virus. Self-quarantining will not be covered. To apply for benefits, they would need to complete a disability claim form - AICK-18, available on our website.
-
Will AICK help business owners who are affected by COVID-19 with premium forgiveness?
We understand these are trying and unprecedented times, but we are unable to forgive premiums.
The U.S. Small Business Administration (SBA) began offering emergency disaster loans to Kansas businesses and non-profit organizations on March 21, 2020, in response to the COVID-19 pandemic. The disaster declaration applies to all 105 Kansas counties.
Eligibility for Economic Injury Disaster Loans is based on the financial impact of the COVID-19. SBA loans may be used to pay fixed debts, payroll, accounts payable and other bills. The interest rate is 3.75 percent for small businesses and 2.75 percent for private non-profit organizations. Register and apply for a loan at the SBA website.
There may be additional federal financial relief that comes from Congress to help businesses and employees during this pandemic. If that occurs, we will be sure to share that information as it becomes available.
-
If my business has been shut down due to COVID-19 mandates, what happens to my group? Can the business remain enrolled if hours aren't being worked?
Yes, the business may certainly remain enrolled. Employees who are currently eligible for coverage, or currently enrolled, may continue their active coverage, as long as premiums are paid, without working the group's required number of hours for coverage eligibility. We are not extending eligibility to include current part time employees or employees not previously working the required number of hours. This will be re-evaluated March 31, 2021.
-
If a member is filing and receiving unemployment benefits as part of COVID-19, will this impact their policy remaining active?
Employees who are currently eligible and enrolled in coverage as of March 16, 2020 may continue their active coverage, as long as premiums are paid, without working the group's required number of hours for coverage eligibility. This will be re-evaluated March 31, 2021.
-
Is there a minimum number of hours required to work weekly, if the 30-hour requirement is not enforced?
No, there is no minimum being enforced. Employees who are currently eligible and enrolled in coverage as of March 16, 2020, may continue their active coverage, as long as premiums are paid, without working the group's required number of hours for coverage eligibility. We are not extending eligibility to include current part time employees or employees not previously working the required number of hours.
-
Will there be a participation number of eligible staff to be enrolled enforced – if so what is the number?
AICK will not be enforcing enrollment participation or quotas at this time. We will re-evaluate this policy March 31, 2021.
-
If a plan participant is laid off and returns to full time status at a later date – will they have to meet the new hire waiting period to re-enroll?
No, AICK will not require the employee to meet a new hire company imposed waiting period. The group has the option of still requiring it.
-
Will the submission time frame of submitting new enrollments be altered?
Not at this time. Please contact your AICK rep if there are issues with submitting documents and documentation in a timely manner.
-
Since so many firms have reduced staff or simply closed – if the employer has not signed off on all the required renewal documents to assure their renewal – what do we do? This may prove to be difficult in reaching them at their homes.
AICK groups will continue to be auto renewed under the current process.
-
If an employee is receiving sick leave or paid time off during the sickness, would they be eligible for Short Term Disability?
If the insured is receiving payment under salary continuance, which includes but is not limited to vacation or a sick leave program sponsored by the employer, they would not be entitled to Short Term Disability benefits.
-
Does the elimination period still apply?
Employees will still need to satisfy the elimination period as defined by the employer's policy.
-
Is there a Quarantine Rider on our policy?
No, AICK does not have a quarantine or pandemic rider on any of our policies.