In a Group Health policy issued to XYZ Corp, what must be issued to employees?

In a Group Health policy context, the correct process requires that a master policy be issued to the employer, such as XYZ Corp, while each employee who is eligible for coverage receives an individual certificate. This certificate serves as proof of insurance and outlines the benefits and rights of the employee under the group policy.

The master policy is a binding document between the insurance company and the employer, detailing the overall terms and conditions of the coverage for the group as a whole. On the other hand, certificates issued to employees provide them with necessary information about their specific coverage, including the benefits, limitations, and conditions applicable to them.

This structure is essential in group insurance as it clarifies the relationship between the insurer, the employer, and the employees, making it crucial that the master policy goes to XYZ Corp while each employee obtains their certificate. This approach enhances the understanding of individual coverage for employees while keeping the administrative details centralized with the employer.