OCTOBER 1, 2013 COMPLIANCE DEADLINE FOR EMPLOYERS TO PROVIDE ACA EXCHANGE NOTICE You’ve probably heard a thing or two about health care reform or Obamacare(Affordable Care Act). While portions of the Affordable Care Act have been delayed, October 1, 2013 remains an important compliance deadline for small-business owners covered by the Fair Labor Standards Act (FLSA). That is the day all employers, regardless of business size or health insurance offer status, must provide all employees with a Notice of Health Insurance Marketplace Coverage Options document. There is a form available for a businesses that “do offer” health insurance to employees and a form for businesses that “do not offer” coverage to employees. Refer to the model notice’s below for examples. Employers must provide a Notice to each employee, regardless of plan enrollment status (if applicable) or of part-time or full-time status. Employers are not required to provide a separate notice to dependents or other individuals who are or may become eligible for coverage under the plan, but who are not employees. All new employees hired after October 1, 2013 will have to be provided the Notice document within 14 days of an employee’s start date. The notice should inform employees: • About the Health Insurance Marketplace; • That, depending on their income and what coverage may be offered by the employer, they may be able to get lower cost private insurance in the Marketplace; and • That if they buy insurance through the Marketplace, they may lose the employer contribution (if any) to their health benefits The U.S. Department of Labor has two model notices to help employers comply. There is one model for employers who do not offer a health plan and another model for employers who offer a health plan or some or all employees: - Model Notice for employers who offer health plans to some or all employees: dol.gov/ebsa/pdf/FLSAwithplans.pdf - Model Notice for employers who do not offer health plans: dol.gov/ebsa/pdf/FLSAwithoutplans.pdf Employers may use one of these models, as applicable, or a modified version. More compliance assistance information is available in a Technical Release issued by the US Department of Labor: dol.gov/ebsa/newsroom/tr13-02.html Also on October 1, 2013 open enrollment will begin for health insurance exchanges in each state. Every state will have two different health insurance exchanges–an individual exchange and a small-business exchange (SHOP). The individual exchange will be available for qualified individuals who do not have an offer of health insurance or whose offer of health insurance is deemed “unaffordable.” The small-business exchange (SHOP) will be available for qualified businesses with fewer than 50 employees. The Department of Health and Human Services (HHS) recently finalized a regulation that will only allow small businesses participating in the small-business exchange (SHOP) to enroll employees in one health insurance plan. Other health insurance plan offer arrangements will be delayed until 2015. Health insurance coverage within the exchanges will begin on Jan. 1, 2014.
Posted on: Sun, 29 Sep 2013 00:22:17 +0000
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