An employer stops remitting payroll-deducted premiums on an employee's non-group health policy. At least how many days before cancelling or lapsing the policy must the insurer mail the insured notice of the employer's failure to remit?

Why B is correct

G.S. 58-50-35 requires that for payroll-deduction premium policies, other than group policies, the insurer mail written notice of the employer's failure to remit premiums at least 15 days before the policy is cancelled or lapses. This gives the insured time to pay the premiums directly and keep the coverage intact.

Why the other options are wrong

• A) Ten days is the standard free-look return period for individual policies under G.S. 58-51-10, not this payroll-deduction notice period.
• C) The 31-day figure belongs to the grace period for policies with premiums other than weekly or monthly under G.S. 58-51-15(a)(3).
• D) Forty-five days is the outer mailing limit in the life-policy forfeiture notice statute, G.S. 58-58-120, not this health notice rule.

Memory hook

Employer skips payroll premiums? Mail notice 15 days before you pull the plug.