Under the birthday rule for determining primary insurance, which statement is correct?

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Multiple Choice

Under the birthday rule for determining primary insurance, which statement is correct?

When coordinating benefits for a child covered by both parents’ plans, the birthday rule is used to decide which plan pays first. The primary plan is the one belonging to the parent whose birthday occurs earlier in the calendar year. This creates a simple, predictable order so benefits aren’t duplicated and payments aren’t wasted. If both parents share the same birthday, other tie-breakers apply (such as which policy has the earlier effective date), but with different birthdays, the earlier date wins. The other factors listed—last name or higher premium—don’t determine primary status in COB rules; birth date order does.

When coordinating benefits for a child covered by both parents’ plans, the birthday rule is used to decide which plan pays first. The primary plan is the one belonging to the parent whose birthday occurs earlier in the calendar year. This creates a simple, predictable order so benefits aren’t duplicated and payments aren’t wasted. If both parents share the same birthday, other tie-breakers apply (such as which policy has the earlier effective date), but with different birthdays, the earlier date wins. The other factors listed—last name or higher premium—don’t determine primary status in COB rules; birth date order does.

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