New Billing Fees for Fully Insured Groups: What to Expect in 2026
Beginning with the 2026 plan year, Blue Cross and Blue Shield of Illinois and other fully insured lines of business are introducing new administrative billing fees. These updates are designed to create more consistent financial practices and reduce delays caused by late or returned payments.
Here’s a simple breakdown of what’s changing and what employers need to know.
Insufficient Funds (NSF) Fee
- Fee amount: $30
- Applies to: All states and all fully insured groups
- When it applies: If a payment is returned due to insufficient funds
- Timing: Will begin appearing on billing statements within the next 1–2 billing cycles
Late Payment Fee
- Fee amount: 1% of total current charges
- Applies to: All states and all fully insured groups
- When it applies: If payment is not posted by the due date
- Timing: Will also begin appearing on billing statements within the next 1–2 billing cycles
What This Means for Employers
With these fees now finalized and rolling out soon, it’s important for employers to review and tighten up internal payment processes. Even small delays or returned payments can now result in added costs.
To avoid unnecessary fees, employers should:
- Make sure payments are submitted early enough to post by the due date
- Double-check bank account balances and ACH setup to avoid NSF returns
- Confirm billing contacts are receiving and reviewing invoices on time
- Consider setting up automatic payments where available
Bottom Line
These new billing policies are meant to encourage timely and accurate payments across all fully insured groups. While the fees themselves are straightforward, they can add up quickly if payment processes aren’t consistent.
Now is the time to review your billing procedures and make any adjustments needed before these fees begin appearing on invoices in the coming billing cycles.