Health Care Reform Update
By now you are beginning to hear a lot more about the new Health Care Reform changes and the Federal Exchange Marketplace effective this coming January, 2014.
What should I do? Since the required group insurance changes will not take place until your 2014 renewal date you can relax for now. As a small group (defined as under 50 employees) the actions required by you in order to comply will be minimal, and, you do not have much to be concerned about right this minute. Be assured, I will help you with comply with the new law.
What are the penalties? Please understand that only groups with 50+ employees are subject to “Pay or Play” along with tax penalties (non-deductible) and the more stringent compliance issues. This is more good news for our small employers.
A couple of mandatory changes coming with your 2014 renewal:
- Waiting periods for new employees can be no longer than 90 days.
- Only employees working 30+ hours weekly will be eligible. (Up from 25 hours now)
Although the Federal Exchange will be available for small group insurance January 1, 2014, we will be able to continue current group coverage outside of the exchange. I will prepare and review both scenarios to find your best option once the information is available so you will be knowledgeable to make the best decision for you and your employees.