Carry-Over Account

Carry-Over Account A carry-over account in insurance is a type of account that allows policyholders to roll over unused benefits from one plan year to the next. This can be beneficial for policyholders who do not use all of their benefits in a given year, as it allows them to save those benefits for future use. This is used in Business Overhead Expense policies, this account accumulates unused benefits so they carry-over and can be used by the insured later. Carry-over accounts are most commonly found in health insurance plans, but they can also be found in other types of insurance, such as dental insurance and vision insurance. The specific rules for carry-over accounts vary depending on the insurance company and the type of insurance plan. For example, some health insurance plans may allow policyholders to roll over unused deductible and out-of-pocket maximum amounts to the next plan year. Other plans may allow policyholders to roll over unused prescription drug coverage benefits. In order to use a carry-over account, policyholders must typically submit a claim to their insurance company. The insurance company will then review the claim and determine how much money can be used from the carry-over account. Any remaining money in the carry-over account can be used towards future covered expenses. Carry-over accounts can be a valuable way for policyholders to save money on their insurance premiums and to ensure that they have the coverage they need when they need it. However, it is important to understand the specific rules for carry-over accounts before you rely on them to cover your expenses. #benewinsurance #insurtech #inclusiveinsurance #insurance #reinsurance #takaful