How has the ACA affected how businesses provide employee health insurance benefits?
>> Flett: Employers are price shopping. Many employers opted for early renewal in the last few months of 2013 in order to lock in premium rates prior to Jan. 1, 2014. This was initially in anticipation of the employer mandate that was to take effect in 2014, later delayed to 2015.
In recent months, self-funding is being offered by carriers for the small-group market as an alternative option to the fully insured arrangements that are impacted by an increase in insurance costs.
What are some of the more common misconceptions businesses have when it comes to the ACA?
>> Cavalier: The initial misconception of the ACA was the first “A,” affordable. Clearly, for a very high percentage of employers purchasing an ACA plan, there has been a significant increase in health premiums for the employer and its employees. … Employers will be holding on to their plans, through the transitional relief policy, as long as allowable by law to avoid significant cost increases.
How can businesses ensure they are in compliance with the ACA?
>> Malesick: An employer may always hire an ACA specialist and legal professional to either analyze the methods the employer plans to or has already implemented with regard to the ACA. The professional may also be hired early on in the process to provide guidance to the employer as it plans its methods for compliance with the ACA.
Another possible way to ensure compliance with the ACA is to be sure to adhere to all of the safe harbor guidance provided by the Department of Labor’s compliance webcasts and compliance assistance materials. The DOL has increased its initiative to perform ACA compliance audits, thus the importance to ensure compliance is at a premium.
