On Feb. 20, 2014, the Departments of Labor, Health and Human Services and the Treasury released final regulations on the Affordable Care Act’s 90-day waiting period limit. These regulations generally finalize provisions in proposed regulations issued in March 2013, with minimal changes. At the same time, the Departments released a separate proposed rule regarding a new provision permitting orientation periods under the 90-day waiting period limit.
Under these regulations, employers may require employees to successfully complete a reasonable and bona fide employment-based orientation period as a condition for eligibility for coverage under a plan. However, the orientation period may not exceed one month. In addition, the final regulations provide that a former employee who is rehired may be treated as newly eligible for coverage upon rehire, and may be required to satisfy the plan’s waiting period again.
The final regulations apply for plan years beginning on or after Jan. 1, 2015. However, the 2013 proposed regulations provided that the 90-day waiting period limit would apply for plan years beginning on or after Jan. 1, 2014. Thus, for plan years beginning in 2014, the Departments will consider compliance with either the 2013 proposed regulations or the final regulations to constitute compliance with the 90-day waiting period limit requirement.
Health Care Reform is up and running. This brief document explains how groups such as employees of large companies, children with pre-existing conditions and the elderly will be affected by the health care reform legislation. Helpful quick hit for those with questions.
Read the article here: HCR-What Does It Mean For You
The U.S. government has announced that the employer mandate, one of the most significant portions of the Affordable Care Act (ACA), will not be enforced until 2015.
Under the provision, companies with 50 or more full-time employees would have faced fines of up to $3,000 per employee if they didn’t offer their employees affordable health insurance.
The one year delay is designed to accomplish two goals:
- Allow the government to consider ways to simplify the new reporting requirements consistent with the law
- Provide time to adapt health coverage and reporting systems while employers are moving forward with offering affordable coverage to their employees
Click here for more information directly from the Treasury Department’s website.
Health care reform brings preventative care benefits at no cost to you. What is covered? Find out here! Healthcare.gov
California was the first state to create a health benefit exchange following the passage of federal health care law. Covered California is charged with creating a new insurance marketplace in which individuals and small businesses can get access to health insurance. With coverage starting in 2014, Covered California will help individuals compare and choose a health plan that works best for their health needs and budget.
To view the full booklet detailing Covered California, click here: CC Health Plans Booklet
A 3-page press release is available here: COVERED CA-HealthPlans
The high-level presentation is available here: Covered California HP Announcement
Per the PPACA, employers covered by the Fair Labor Standards Act (FLSA) are required to provide a notice to employees about the state’s health insurance exchanges. Originally, the deadline for offering the exchange notice was March 1, 2013. However, on May 8, 2013, the Department of Labor issued a technical release extending the date to October 1, 2013.
The notice must be provided in writing in a manner calculated to be understood by the average employee. It may be provided by first-class mail. Alternatively, it may be provided electronfically if the requirements of the Department of Labor’s electronic disclosure safe harbor at 29 CFR 2520.104b-1 are met.
There is no requirement to obtain an employee’s signature; however, an employer may want to track delivery and receipt of the notice.
The model notice is available here: Model Notice