Affordable Care Act (ObamaCare) – “Pay or Play” Deadline Extended for Large Employers
Requirements Delayed for One Year, to 2015
from Covenant Insurance Group, administrator of the Wyoming Chambers Health Benefit Plan
On July 2, the U.S. Treasury announced a one-year delay in the requirement for “large employers” (those with 50 or more full-time equivalent employees) to either provide health insurance to employees or pay a penalty.
This has no effect on smaller employers, and the extension did not address other deadlines – such as the requirement for group health plans to provide “guaranteed issue” insurance coverage regardless of any pre-existing medical conditions, or the obligation to limit the waiting period of a new employee’s coverage to no more than 90 days.
The extended employer deadline does not extend the deadline for individual to elect some form of coverage in 2014, to avoid the separate individual taxpayer penalty. As such, employers may be inclined to still offer some form of coverage in 2013 to assist their employees.
The new individual health care exchange alternatives (“marketplaces”) are still scheduled to begin open enrollment on October 1, 2013, unless/until further guidance is issued. Employers are also still mandated to provide employee notification of all health insurance options available to them in 2014.
Employers should continue to address and resolve what the employer needs or wants to be doing for their employees with regard to health care coverage.
Click here for Covenant Insurance’s full summary of where we are after this extension announcement….
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