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Small Business Health Options Program (SHOP) FAQ

Guidance for FAQ regarding 834 Transaction and Termination Transaction

Program Area: Small Business Health Options Program (SHOP)

Question: Some issuer systems require that members are paid through their termination date before they are terminated in the system. Will the FF-SHOP ensure that transactions are sent in the right order?

Answer: Employers may voluntarily terminate their coverage in the FF-SHOP system only when they have a zero balance. And termination transactions for non-payment of premium are only sent to issuers after a group's grace period (31 days in FF-SHOP) has expired without payment in full.

Issued by: Centers for Medicare & Medicaid Services (CMS)

Issue Date: May 13, 2014

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