It often happens that individuals applying for group insurance presently have individual health insurance. Sometimes they have paid up-front for their individual health insurance coverage and fear losing that money if they enroll in group health coverage. To my knowledge most health insurance companies have a reimbursement policy. This means that they will reimburse to the individual any unused premium. Generally there is a small service charge. So individuals do not need to fear losing their “paid premium” if they switch from an individual to a group health insurance policy.