Page 97 - 2021 Medical Plan SPD

Texas Mutual Insurance Company Medical Plan

6. If the preceding rules do not determine the order of benefits, the Allowable Expenses shall
be shared equally between the Plans meeting the definition of Plan. In addition, This Plan
will not pay more than it would have paid had it been the Primary Plan.

Effect on the Benefits of This Plan

A. When This Plan is secondary, it may reduce its benefits so that the total benefits paid or provided
by all Plans are not more than the total Allowable Expenses. In determining the amount to be paid
for any claim, if the Secondary Plan would have paid the same amount or less than the Primary
Plan paid, This Plan pays no Benefits; If the Secondary Plan would have paid more than the
Primary Plan paid, This Plan will pay the difference; and apply that amount to any Allowable
Expense under its Plan that is unpaid by the Primary Plan. The Secondary Plan may then reduce
its payment by the amount so that, when combined with the amount paid by the Primary Plan, the
total benefits paid or provided by all Plans for the claim may be less than the total Allowable
Expense for that claim. In addition, the Secondary Plan shall credit to its plan deductible any
amounts it would have credited to its deductible in the absence of other health care coverage.

B. If a Covered Person is enrolled in two or more Closed Panel Plans and if, for any reason, including
the provision of service by a non-panel provider, benefits are not payable by one Closed Panel
Plan, COB shall not apply between that Plan and other Closed Panel Plans.

C. This Coverage Plan reduces its benefits as described below for Covered Persons who are eligible
for Medicare when Medicare would be the Primary Plan.

Medicare benefits are determined as if the full amount that would have been payable under
Medicare was actually paid under Medicare, even if:
 The person is entitled but not enrolled in Medicare. Medicare benefits are determined as if
the person were covered under Medicare.
 The person is enrolled in a Medicare Advantage (Medicare Part C) plan and receives non-
covered services because the person did not follow all rules of that plan. Medicare benefits
are determined as if the services were covered under Medicare.

 The person receives services from a provider who has elected to opt-out of Medicare.
Medicare benefits are determined as if the services were covered under Medicare and the
provider had agreed to limit charges to the amount of charges allowed under Medicare rules.
 The services are provided in any facility that is not eligible for Medicare reimbursements,
including a Veterans Administration facility, facility of the Uniformed Services, or other facility
of the federal government. Medicare benefits are determined as if the services were
provided by a facility that is eligible for reimbursement under Medicare.

 The person is enrolled under a plan with a Medicare Medical Savings Account. Medicare
benefits are determined as if the person were covered under Medicare.

Important: If you are eligible for Medicare on a primary basis (Medicare pays before Benefits
under this Coverage Plan), you should enroll for and maintain coverage under both Medicare Part
A and Part B. If you don't enroll and maintain that coverage, and if This Plan is secondary to
Medicare, This Plan will pay Benefits under this Coverage Plan as if you were covered under both
Medicare Part A and Part B. As a result, your out-of-pocket costs will be higher.

If you have not enrolled in Medicare, Benefits will be determined as if you timely enrolled in
Medicare and obtained services from a Medicare participating provider if either of the following
applies:
 You are eligible for, but not enrolled in, Medicare and this Coverage Plan is secondary to
Medicare.

94 Section 7: Coordination of Benefits