Producers
Individual Coverage Health Reimbursement Arrangements (ICHRAs) are new premium reimbursement arrangements that allow employers to reimburse employees for personal health insurance coverage they obtain on their own. Plans such as those offered on the Health Insurance Marketplace or Medicare plans are eligible for reimbursement. An employer may optionally choose to reimburse out-of-pocket medical expenses too.
The U.S. Department of Labor (DOL) has issued guidance that will impact COBRA procedures, special enrollment periods, and claims procedures. The guidance will extend the length of certain time periods applicable to group health plans, disability plans and other welfare plans regulated by the ERISA law. Plan participants and beneficiaries will have additional time to do the following:
As a reminder, the Affordable Care Act (ACA) created a research institute known as the Patient-Centered Outcomes Research Institute (PCORI). The goal of PCORI is to help patients and those who care for them make better-informed decisions about healthcare choices.
If you’re familiar with the individual health insurance market, you should be aware that the Affordable Care Act (ACA) made significant changes to the application and enrollment processes starting in 2014.
Making Plan Changes During the COVID-19 Pandemic
Needless to say, these last several weeks have created challenging times for a significant number of employers. Stay-at-home orders and other impacts from the COVID-19 (Coronavirus) pandemic have put many employers in a position where they must make sudden health plan and benefit changes.
The short answer is that they are both defined contribution plans.
The Individual Coverage Health Reimbursement Arrangement (ICHRA) is an employer-sponsored defined contribution health plan whereas a 401(k) is a defined contribution retirement plan.
Many insurance carriers are offering up a limited time special enrollment period due to the COVID-19 (Coronavirus) pandemic. Call it a midyear open enrollment period if you will. No qualifying event is necessary to enroll in the group health plan. Many insurance carriers (at the discretion of the employer) are allowing employees to join the group health plan if they waived coverage during the employer’s typical open enrollment period. This comes as good news for many employees.
Millions of Americans have already lost their jobs due to the coronavirus crisis and some experts say the worst is yet to come. According to a recent Federal Reserve estimate, the coronavirus economic freeze could cost 47 million jobs and send the unemployment rate past 32%.
The economic stimulus bill that we’ve all been hearing about has officially been approved by Congress and was signed into law by President Donald Trump on Friday. This $2 trillion bill will provide stimulus checks to many Americans, increase unemployment benefits for workers and provide low interest loans for many small businesses, among many other things.
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