Common use of Significant Curtailment Without Loss of Coverage Clause in Contracts

Significant Curtailment Without Loss of Coverage. If a Participant (or a Participant’s spouse or dependent) has a significant curtailment of coverage under a Benefit during a Period of Coverage that is not a loss of coverage (for example, there is a significant increase in the deductible, the co-pay, or the out-of-pocket cost sharing limit under an accident or health plan), the Plan shall permit the Participant to revoke his or her election for that coverage and, in lieu thereof, to elect to receive on a prospective basis coverage under another Benefit Package Option providing similar coverage. For purposes of this Plan, “similar coverage”, means coverage for the same category of Benefits for the same individuals. Coverage under a Benefit is significantly curtailed only if there is an overall reduction in coverage provided under the Benefit so as to constitute reduced coverage generally.

Significant Curtailment Without Loss of Coverage. If a Participant (or a Participant’s spouse or dependent) has a significant curtailment of coverage under a Benefit during a Period period of Coverage coverage that is not a loss of coverage (for example, there is a significant increase in the deductible, the co-pay, or the out-of-pocket cost sharing limit under an accident or health plan), the Plan shall permit the Participant to revoke his or her election for that coverage and, in lieu thereof, to elect to receive on a prospective basis coverage under another Benefit Package Option providing similar coverage. For purposes of this Plan, “similar coverage”, means coverage for the same category of Benefits for the same individuals. Coverage under a Benefit is significantly curtailed only if there is an overall reduction in coverage provided under the Benefit so as to constitute reduced coverage generally.