According to the birthday rule, how is a child's primary insurance determined when both parents cover dependents?

The birthday rule is a widely accepted guideline used to determine the primary insurance for a dependent child when both parents have insurance coverage. According to this rule, the parent whose birthday falls earlier in the calendar year is designated as the primary insurer for the child.

This approach simplifies the process of determining which parent's insurance will be billed first, thereby avoiding potential complications that could arise from other criteria, such as who pays the premiums or whose plan offers the most comprehensive coverage. The birthday rule ensures consistency and eases the administrative burden on families when navigating healthcare costs and coverage for dependents. This rule focuses solely on the birth dates of the parents rather than factors such as the organization size or premium amounts, making it straightforward and easy to apply in practical scenarios.