For beneficiaries whose benefits will not be payable because of a suspension event and for nonbeneficiaries, the bulk of the premiums will be collected quarterly. Some of these enrollees pay premiums for as much as a year in advance. If an enrollee voluntarily terminates his entitlement so that his coverage ends before the last month for which he has paid premiums, the unearned premiums received may be refunded only as indicated below, with priority in the order shown.

A. Premiums Paid by Group Payer

Excess premiums paid by a group payer (employer, union, etc.) will be refunded in accordance with HI 01001.240.

B. Premiums Paid by Enrollee

Where the enrollee paid his own premiums, the unearned premiums will be refunded to him. (See HI 01001.040 if the enrollee is a monthly benefit recipient.) No request for refund will be necessary as his request for termination will be deemed an application for any excess premiums on his account.