Exchange Notice Guidelines In Effect Oct. 1, 2013

Under the Affordable Care Act, employers are required to give their employees information about their health care options. Beginning October 1, 2013 employers are required to give out the information provided in this notice to all existing employees, as well as all future employees at the time they are hired.

Employers must provide a notice of coverage options to each employee regardless of plan enrollment status, or 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 as non-employees. This notice must be provided free of charge.

Here are a the details that must be included in the notice to your employees.

1. Employers must inform the employee of the existence of the Exchange/Marketplace including a description of the services provided by the Exchange/Marketplace, and the manner in which the employee may contact the Exchange/Marketplace to request assistance.
2. If the employer plan’s share of the total allowed costs of benefits provided under the plan is less than 60% of such costs, then the employee may be eligible for a premium tax credit under Section 36B of the Internal Revenue Code.
3. If the employee purchases a qualified health plan through the Exchange/Marketplace, the employee may lose the employer contribution (if any) to any health benefits plan offered by the employer and that all or a portion of such contribution may be excludable from income for Federal income tax purposes.