Employer ACA Exchange Notice Requirement Delayed

Posted by Rick Lindquist

According to the Affordable Care Act (ACA), starting March 1, 2013, employers must inform all current employees and any new hires after this date about the existence of the exchange in their state and how employees can access it. The notification must include:

• Written notice informing employees about the state’s Exchange.
• Notification to employees if the plan offered by the employer is inadequate, meaning it does not meet the actuarial value of 60 percent.
• Notification to employees that if they purchase a health plan through the Exchange, the employee may lose the employer’s contribution to health benefits offered by the employer.
• The notice must be provided regardless of the size of the employer and include minimal information about the individual so as not to place a threat to individual privacy.
• The DOL has not yet issued a model notice, FAQs or guidance about the employer notice requirement.

Exchange Notice Requirement Delayed

Due to the lack of information available to employers regarding specific state health insurance exchanges, te Department of Labor (DOL) has announced that employers will not be held to the March 1, 2013 deadline. The Department acknowledged that it would be premature to issue a notice in March because specific exchange information is not yet available. The upcoming guidance on the provision is expected to reflect a more realistic compliance date.

Source: BCBSIL