Health Insurance Assignments (HICA)

Process

  • Employer receives the NMSN, a statement of employee's rights, and the instructions of how the employee can seek to quash the order.
  • Employer delivers copies to employee, within 10 days, of the NMSN, a statement of the employee's rights, and procedures to move to quash the order.
  • If no coverage is available, employer must advise the child support agency within 20 days of receipt of the NMSN.
  • Coverage is Available upon Completion of Probationary Period: The employer should keep the NMSN and activate coverage when available. Employer should complete/return NMSN response form and advice of the effective date when insurance will be available to the paying parent (Non custodial parent) & dependents.
  • NMSN is effective 20 days after the employer receives it unless employee files motion to quash - in such case, it is effective when resolved by the court and the employer receives notice of the court decision.
  • Employer must begin steps to start coverage within 10 days after the effective date of the NMSN.
  • Employer selects coverage - Unless the court has directed a specific plan (such as IV D Kids) or the employee has already enrolled in a plan that will cover the child, the employer shall enroll the child in a plan that will provide reasonable benefits and coverage where the child resides.
    NOTE: If the children are already enrolled in a plan through the employer or the employee has chosen a plan and the NMSN specifies a different plan, contact the child support agency for direction.
  • Employer pays the premium directly to the provider after withholding it from the employee's earnings.
  • Employer must:
    • Notify child support agency of date coverage begins.
    • Provide evidence of coverage to the local child support agency and any information, literature, medical insurance cards and /or other documents necessary to begin and maintain benefits for the children identified on the NMSN.
    • If requested by the custodial person, provide all forms and other documentation necessary to submit claims to the insurance carrier.
    • Notify the child support agency if there is a lapse in coverage, the reason for the lapse, and the date coverage is expected to resume.

No coverage available

If no coverage is available, complete and return the NMSN to the child support agency within 20 days of receipt. 

No coverage now but there will be in the near future

If no coverage is available but it will become available, the employer should keep the NMSN, enroll the child when insurance becomes available, and then proceed with the required notifications listed above. 

Lapse in coverage

The employer must notify the child support agency if there is a lapse in coverage, the reason for the lapse, and the date coverage is expected to resume. 

Liability of employer for noncompliance

If the employer willfully fails to comply with the NMSN, employer is liable for any costs incurred for health care services that would otherwise have been covered under the insurance policy. The employer may also be found in contempt of court and punished by fine and/or imprisonment.