New Guidance Offered on ACA Requirement of Insurance Notice
New guidance has been issued on the Affordable Care Act requirement that employers provide employees with a notice of their health insurance coverage options available through the future health insurance exchanges. Issued by the U.S. Department of Labor’s Employee Benefits Security Administration, the guidance requires all employers subject to the FLSA to provide the notice of health coverage options to each new employee at the time of hiring beginning October 1, 2013, and to all current employees by October 1, 2014.
Beginning in 2014, employers must provide notice within 14 days of an employee’s start date. All employees must receive this notice, regardless of plan enrollment status or of part-time or full-time status. Employers must also inform the employee that he or she may be eligible for a premium tax credit under section 36B of the Code if the employee purchases a qualified health plan through the new Marketplace.
For more information on the new guidance and how it may affect you or your employees, please visit the Employee Benefit Adviser.
*To ensure compliance with requirements imposed by the IRS, we inform you that any U.S. federal tax advice contained in this communication (including any attachments) is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code or (ii) promoting, marketing or recommending to another party any transaction or tax related matter.