Delays, delays and more delays. That seems to be the trend this year
as concerns mount about how to implement components of Affordable Care
Act (ACA), commonly called Obamacare or the Health
Care Act. The White House has reacted to what’s being touted as a
series of “operational challenges” by extending deadlines for coverage
and offering simplified reporting requirements.
One of the first concerns involves the Small Business
Health Insurance Exchange (SHOP). Under the old rules, SHOP exchanges
were to be in place by January 1, 2014, with small employers offering
open enrollment on October 1, 2013. Small employers are defined under
the rules as those with up to 100 employees; states will eventually be
able to make changes to the eligibility criteria including limiting
participation to businesses with 50 or fewer employees in 2014 and 2015.
Individuals and the self-employed are also able to participate in the
exchanges.
The exchange, as initially conceived, would offer
individual options based on the level of benefits. The idea is that more
options and more choice would equal more affordable coverage. To
further encourage participation in the exchanges, federal tax credits
may be available for small businesses with fewer than 25 employees who
buy health care coverage through the exchanges.
Despite the push, not all states have signed on to the idea of
exchanges. The lack of enthusiasm has been exacerbated by a lack of
choice. For now, there is only one plan option available under the exchanges
and the complete price of that option is still unknown. What that
means, realistically, is that many small businesses will likely continue
offering their current plan options for an additional year – or not
offer coverage at all. Finding affordable health care coverage for
employees has become more of a challenge as costs have skyrocketed. Not
surprisingly, those pushing for the delay in the choice option include
insurers like Aetna AET -1.45%, who now claim, three years after the bill was passed that “employee choice models are extremely cumbersome to establish and operate.”
With that controversy still fresh, the White House today announced
another delay in the Health Care Act, this one affecting large
businesses – those with more than 50 employees. This delay, however, is
definitely more favorable to the employer: large businesses won’t have
to offer proof of coverage for 2014. In simple terms, reporting requirements – many of which have been criticized as far too burdensome for employers – for health care benefits have been suspended for 2014. Those reporting requirements included employee and benefits information to be reported to the Internal Revenue Service (including the cost of health care benefits provided to employees noted on your form W-2). Since reporting has been suspended, that necessarily means that related employer penalties will not apply for 2014.
These two delays, while offering a bit of relief for employers
concerned about how to comply with new reporting requirements and health
care mandates, are concerning for proponents of ACA. Delays in
implementation of ACA and complaints from businesses about the
complexity of the new law have plagued the administration since the
health care was signed into law in 2010. Most recently, Congress and the
public have expressed reservations about the IRS’ ability – in the
midst of a number of scandals – to administer the provisions of the law.
Even those who initially supported the law have expressed concerns,
with Sen. Max Baucus (D-MT), one of the authors of the original Health Care Act, referring to it this spring as a “train wreck.”
วันอังคารที่ 2 กรกฎาคม พ.ศ. 2556
วันพุธที่ 22 พฤษภาคม พ.ศ. 2556
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