So here we are, on the heels of a presidential election, a bit over a year away from the full effects of the Affordable Care Act (Health Reform) and employers need to make sure they are remaining compliant or it could cost, a lot. Below is a time-line and essential changes that you may want to earmark. In past posts I have shared these with you but thought were important enough for a re-visit.
2012
1) August, 2012-Rebates will be issued by insurers if medical loss ratio is less than 80% in small group market and 85% in large group market. Rebates will be issued at the employer level.
2) August, 2012-Non-Grandfathered Health plans will be required to offer coverage for Gestational Diabetes Screening and Contraceptive for non-religious, non-exempt employers.
3) Summary of Benefits Coverage (SBC)-Applies to first Open Enrollment period after September 23, 2012. Insurers and Plan Administrators must provide a summary of benefits and coverage to employers and plan participants. For employer groups the responsibility to get these to the employees relies primarily on the employer. Under this provision, there is a 60 Day Advance Notice of Material Change where carriers must provide a 60 day advance notification if any material changes to the coverage are to go into effect.
4) October, 2012-Comparative Effectiveness Fee-Plans that began after 10-2-2011 will be required to pay $1 per covered life for research to determine effectiveness of medical treatments. This is the portion of the law that concerned a great many people as they believed that these panels would undermine life saving care in place of cost savings. This fee goes up to $2 per life in 2013 and supposedly goes away in 2019.
5) Jan, 2013-Flexible Spending Account (FSA) spending limits capped at $2500 for Individual and $5000 for family. Cap applies to plan years that began after December 31, 2012.
6) 2012 Tax Year-W-2's distributed in 2013 for tax year 2012 for employers who issue more than 250 W-2's will be required to include the total cost of group medical coverage.
