Which of the following best describes the scope of run-out protection?

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Multiple Choice

Which of the following best describes the scope of run-out protection?

Run-out protection focuses on timing of claim submissions across a plan year boundary. It ensures that claims incurred during the plan year can still be paid even if they’re submitted after the year ends, within a defined run-out window. In other words, it covers claims that are paid after the plan year ends because the submission happened late, ensuring those expenses aren’t lost due to the calendar year. It doesn’t apply to submissions before the plan year begins, nor to claims that are filed and resolved entirely within the year, outside of any post-year window.

Run-out protection focuses on timing of claim submissions across a plan year boundary. It ensures that claims incurred during the plan year can still be paid even if they’re submitted after the year ends, within a defined run-out window. In other words, it covers claims that are paid after the plan year ends because the submission happened late, ensuring those expenses aren’t lost due to the calendar year. It doesn’t apply to submissions before the plan year begins, nor to claims that are filed and resolved entirely within the year, outside of any post-year window.

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