|Federal Agencies Propose to Allow Short-Term, Limited-Duration Insurance for Longer Periods
Federal agencies recently proposed to amend the definition of
short-term, limited-duration insurance so that it may offer a maximum
coverage period of less than 12 monthsafter the original effective date of the contract, rather than the current maximum period of less than 3 months.
POSTED FEBRUARY 21, 2018 6:06 AM
|Reminder: Form 1094 & 1095 Deadlines Approaching
Employers subject to the Affordable Care
Act's (ACA) information reporting requirements are reminded that the
deadlines to file and furnish Forms 1094 and 1095 are quickly
POSTED FEBRUARY 15, 2018 10:10 AM
|IRS Updates Q&As on ACA Information Reporting
The Internal Revenue Service has updated its Q&As regarding Form
1094-C and 1095-C information reporting by applicable large employers
(ALEs)—generally those with at least 50 full-time employees, including
full-time equivalent employees, in the preceding calendar year.
POSTED FEBRUARY 06, 2018 6:06 AM
|3 Key ACA Terms Employers Need to Know
In general, under the employer shared responsibility ("pay or play") provisions of the Affordable Care Act (ACA), applicable large employers—generally those with 50 or more full-time employees, including full-time equivalent employees—may be subject to a penalty if they do not offer minimum essential coverage that is affordable and provides minimum value to their full-time employees (and their dependents). This update includes definitions to help employers understand these key terms.
POSTED FEBRUARY 02, 2018 3:03 AM
|'Cadillac Tax' Delayed Until 2022
President Trump has signed the Extension of Continuing Appropriations
Act, which (among other things) delays implementation of the "Cadillac
Tax," the Affordable Care Act's excise tax on high-cost
employer-sponsored health coverage, until 2022. Previously, this
tax—which would impose a 40% tax on plans that cost more than $10,200
(for self-only coverage) and $27,500 (for family coverage)—was set to
become effective in 2020.
POSTED JANUARY 23, 2018 3:03 AM
|Reminder: 2018 'Pay or Play' Affordability Percentage is 9.56%
As a reminder, for plan years beginning in 2018, coverage will
generally be considered affordable if the employee's required
contribution for the lowest cost self-only health plan is 9.56% or less of his or her household income for the taxable year. For plan years beginning in 2017, the applicable percentage was 9.66%.
POSTED JANUARY 19, 2018 2:02 AM
|Reminder: Individual Mandate Remains in Effect for 2018
Individuals are reminded that the section of the Tax Cuts and Jobs Act
which effectively repealed the individual shared responsibility
provision ("individual mandate") of the Affordable Care Act does not become effective until 2019.
As a result, individuals are required to have minimum essential health
coverage, qualify for an exemption from the requirement, or pay a
penalty tax for 2018.
POSTED JANUARY 12, 2018 3:03 AM
|DOL Proposal Encourages Creation of Association Health Plans
The U.S. Department of Labor has issued a proposed rule which would
allow employers to join together as a single group to offer group health
insurance coverage to current employees, former employees, working
owners, and their family members as part of an "association health plan." If finalized, the rule would allow association health plans to be formed on the basis of industry or geography, such as by state, city, county, or metropolitan area.
POSTED JANUARY 05, 2018 5:05 AM
|5 Things ALEs Need to Know About Information Reporting in 2018
Under the Affordable Care Act, applicable large employers (ALEs)—generally those with at least 50 full-time employees, including full-time equivalent employees, in the preceding calendar year—must report certain information to their full-time employees and the Internal Revenue Service (IRS) about the health care coverage they have offered (if any). With deadlines for 2017 reporting just a few months away, ALEs should begin thinking about these five information reporting facts:
POSTED DECEMBER 29, 2017 5:05 AM
|Forms 1095-B and 1095-C Furnishing Deadlines Extended
The IRS has extended the due dates for furnishing 2017 Forms 1095-B and 1095-C to covered individuals and full-time employees, respectively, from January 31, 2018, to March 2, 2018. The IRS has also extended good faith penalty relief
to reporting entities who make certain calendar year 2017 information
reporting errors. However, the deadline to file 2017 Forms 1095-B and
1095-C with the IRS remains February 28, 2018 (or April 2, 2018, if filing electronically).
POSTED DECEMBER 22, 2017 7:07 AM