In early June, President Obama signed into law the “Protecting Access to Medicare Act.” A portion of this new law essentially repeals a provision of the Affordable Care Act that was particularly burdensome for small businesses (those with less than 50 employees). This provision held that small groups were prohibited from offering health plans with deductibles higher than $2,000 for single coverage and $4,000 for family coverage.
This comes as very welcome news to small businesses, which often need the most flexibility and options in order to offer employees health insurance that is both comprehensive and affordable. Small companies will typically use higher deductibles and other cost-sharing strategies.
It’s also a positive change for any employers who want to offer their insurance plans in conjunction with health reimbursement arrangements (HRAs). Previously, federal agencies rejected HRAs as an allowable way to ease the $2,000/$4,000 provision.
The new law was effective immediately upon being signed and is just one example of the many ever-changing rules and regulations that impact your employee benefit plan.
Why not leave the planning to the capable Robin S. Weingast & Associates team, who stay on top of what these legislative changes mean for your business? Contact us today and we can discuss a custom, comprehensive plan that leverages these new small business allowances, incorporates HRAs, keeps your employees satisfied, and makes sense for your bottom line. We’ll even conduct a free evaluation of your current plan to ensure that your benefits are working for you. Reach out today.