The provisions implemented by the Affordable Care Act created changes that began in 2010. The health care reform revised the way many businesses are conducted. Specifically, employers have many more requirements with which they are to comply. Other compliances become active between now and 2018, as well, listed below. ERM Insurance Brokers will be happy to help you understand how these changes will affect your business.
- Starting this year, employers with 100+ individuals working for them must provide minimum essential health care for employees and their children, covering at least 60% of the health care costs.
- The definition of a “small group” business will change from between 1 and 50 employees, to between 1 and 100 employees.
- Employers with between 51 and 100 employees will be penalized if full-time employees are not offered affordable, minimum essential coverage.
- Increasing from 2015, employers must offer coverage to 95% of their employees and their employees’ children, consisting of affordable, minimum value coverage.
- “Cadillac” plans, which cost more than $10,200 for individual coverage or $27,500 for family coverage, will incur a 40% excise tax, payable by the insurer or employer.