Non-Qualified Dependents are being enrolled when Ben Admin is finalized-NO ELECTION ERROR

Why is this occurring? NON-Qualified Dependent(s) (Qualified Dependent box is NOT checked) are enrolled when enrollments are added, either by Self-Service or by the Benefit Administrator via On-Demand, if the Process Status = ENTERED, the Finalize/Apply Defaults is checked and then the Validate/Finalize button is clicked. The Process Status does not change to ELECTION ERROR.

However, if the Process Status = ENTERED, the Finalize/Apply Defaults IS NOT checked and the Validate/Finalize button is clicked, the Process Status changes to ELECTION ERROR and DOES NOT enroll NON Qualified Dependent(s).

The only difference is if the Finalize/Apply Defaults box is checked it changes the Process Status to Finalize/Enrolled and enrolls NON-Qualified Dependent(s). If the Finalize/Apply Defaults is NOT checked, it changes the Process Status to ELECTION ERROR.