By Kurt R. Anderson, Edward I. Leeds and Jessica M. DuBois on Posted in Consolidated Appropriations Act (CAA),COVID-19The new stimulus bill (the Consolidated Appropriations Act of 2021 or CAA) imposes new disclosure requirements for brokers and consultants providing services to ERISA health plans. The service providers are required to disclose to a plan’s fiduciary the direct and indirect compensation, including commissions and other incentive compensation they (or their affiliates and subcontractors) receive [&hellip… Continue Reading »
By Kurt R. Anderson on Posted in Health Plans,Healthcare Providers / SuppliersERISA does not allow a state to compel a self-insured group health plan to compile and report medical claims data for inclusion in a state-wide all-payer health care database, the U.S. Supreme Court has ruled in a landmark decision. In Gobeille v. Liberty Mutual Insurance Co., the Supreme Court backed the contention of Liberty Mutual [&hellip… Continue Reading »
By Kurt R. Anderson on Posted in Employer Responsibilities,Enforcement,Reporting,Taxes and FeesIn the first significant congressional modification of the Affordable Care Act (ACA) since its passage, the notorious “Cadillac tax” on high-cost employer health plans has been delayed two years, from 2018 to 2020. The delay is included in the omnibus spending and tax extenders bills President Obama signed on December 22. Delay of the Cadillac [&hellip… Continue Reading »
By Kurt R. Anderson, Edward I. Leeds and Brian M. Pinheiro on Posted in Cadillac Tax,Taxes and FeesThe Internal Revenue Service has issued a new notice addressing issues relating to future rules governing the calculation and payment of the so-called “Cadillac tax” under the Affordable Care Act. Beginning in 2018, the ACA will impose a 40 percent nondeductible excise tax on the value of group health coverage that exceeds a baseline amount [&hellip… Continue Reading »
By Kurt R. Anderson on Posted in Essential Benefits,Plan Design RequirementsThe Internal Revenue Service, in Notice 2014-69, has concluded that certain unconventional group health plan designs that offer limited or no coverage for in-patient hospitalization services and/or physician services will not provide “minimum value.” Consequently, this may expose large employers to financial penalties under the Affordable Care Act’s (ACA’s) “pay-or-play” employer mandate. These plans, sometimes [&hellip… Continue Reading »
By Diane A. Thompson and Kurt R. Anderson on Posted in Flexible Spending Accounts (FSAs),Plan Design RequirementsThe Internal Revenue Service will now allow an employer-sponsored health flexible spending account (FSA) program to permit the carryover of up to $500 in unused health FSA funds from one year to the next. IRS Notice 2013-71, issued on October 31, 2013, modifies the “use-it-or-lose-it” rule for health FSAs, which generally requires the forfeiture of [&hellip… Continue Reading »
