The U.S. Department of the Treasury announced the intent of a one year delay on certain key components under the Affordable Care Act. Formal guidance regarding the delay will be published within the next week. The delay relates to:
- Employer shared responsibility payments -Employers with 50 or more full-time-equivalent employees would be assessed a penalty if they fail to offer affordable minimum essential health insurance to full-time employees.
- Mandatory employer and insurer reporting requirements – Required reporting by insurers, self-insuring employers, and other parties that provide health coverage with respect to the health coverage offered to their full-time employees.
It is not known at this time how the delay of the above components of the ACA will affect other parts of the Act. The requirement for individuals to obtain health insurance coverage has not been delayed at this time. The one-year delay will be used to simplify reporting requirements and to adapt health coverage and reporting systems. To read the full text of the announcement, click here.
For more information on how Health Care Reform could impact your business, please contact your Warren Averett advisor or visit our Health Care Reform web page.