What does non-calendar year mean?

If a U.S. corporation has a non-calendar accounting year, it is referred to as a fiscal year. For example, a U.S. corporation can have a fiscal year that begins on October 1 and ends on the following September 30. Educational institutions often have fiscal years that begin on July 1 and end on the following June 30.

What is a calendar year plan?

Medical Plans. The calendar year is January 1 to December 31. A plan year is the 12-month period during which your health plan is effective. It is determined by your employer’s group coverage start and end dates.

What is the difference between a plan year and calendar year?

A calendar year deductible, which is what most health plans operate on, begins on January 1st and ends on December 31st. Calendar-year deductibles reset every January 1st. A plan year deductible resets on the renewal date of your company’s plan.

What does plan year mean for insurance?

A 12-month period of benefits coverage under a group health plan. To find out when your plan year begins, you can check your plan documents or ask your employer. (Note: For individual health insurance policies this 12-month period is called a “policy year”).

Does insurance go by calendar year?

Many employers operate their health plans on a calendar year basis, from Jan. 1 through Dec. 31 of each year. Other employers operate their plans on a non-calendar year basis, which may be consistent with the company’s taxable year or with an insured plan’s policy year.

Are deductibles based on calendar year or plan year?

A deductible usually applies every calendar year, that’s why it’s referred to as a calendar year deductible and often defined as the amount an individual needs to reach each calendar year before they start paying copays or coinsurance for many services covered by their plan.

What does once a calendar year mean?

A calendar year is a one-year period between January 1 and December 31, based on the Gregorian calendar. The calendar year commonly coincides with the fiscal year for individual and corporate taxation.

What is a calendar year deductible?

Calendar-year deductible is an amount payable by an insured during a calendar year before a group or individual health insurance policy begins to pay for medical expenses.