---
kind: "section"
citation: "42 C.F.R. § 408.63"
title: "42"
number: "408.63"
heading: "Billing procedures when monthly benefits are less than monthly premiums."
url: "https://uscodex.org/cfr/42/408.63"
---

# §408.63. Billing procedures when monthly benefits are less than monthly premiums.


If monthly benefits are less than monthly premiums, the following procedures apply:

- (a) **Notice of amount due.** At the beginning of SMI entitlement, and at the beginning of each succeeding calendar year, SSA—
  - (1) Notifies the enrollee of the amount of benefits payable for the rest of the year and the total premiums due for those same months; and
  - (2) **Bills the enrollee for the difference.**
- (b) **Notice of amount overdue.** At the beginning of each succeeding calendar year, SSA—
  - (1) Notifies the enrollee of any amounts overdue for premiums for the preceding calendar year; and
  - (2) Indicates that if the amount still overdue on April 30 is equal to or greater than the premium for 3 months, SMI coverage will terminate on that date.

## Notes

### Authority

Authority: 42 U.S.C. 1302 and 1395hh.

### Source

Source: 52 FR 48115, Dec. 18, 1987, unless otherwise noted.