Each month AssuredPartners NL will discuss a different aspect of the Affordable Care Act. Stay tuned for more updates on the second Thursday of each month. Click here for more Affordable Care Act blogs.
The Affordable Care Act legislation includes key reforms that create new health insurance coverage standards, beginning in 2014. Due to these reforms, millions of Americans received notices late in 2013 that their health plans did not comply with the ACA reforms, and were consequently canceled. Previously, President Obama had assured consumers that if they liked their health insurance plan, they would be able to keep it under the ACA reforms.
As a response to pressure from upset consumers who lost their plans, the White House announced in November 2013 a special transition relief policy for 2014. This transition policy is available to consumers with non-grandfathered coverage in the small group and individual health insurance markets. This transition policy allowed issuers to continue policies that do not meet ACA standards, if permitted by their state. Last month, we discussed the options available for individuals with canceled insurance plans under Affordable Care Act reforms.
However, on March 4 2014, the Obama Administration announced a two-year extension to the transition policy for non-compliant individual and small group health plans. This means this transition policy for consumers is extended to policy years beginning on or before Oct. 1, 2016. Individuals and small businesses may now keep their non-compliant plans into 2017. Additionally, states also now have the option to extend the transition relief to certain large employers in 2016.
If you have questions about your health insurance plan and the Affordable Care Act, the AssuredPartners NL Employee Benefits team can help. To learn more, or contact an agent visit: AssuredPartners NL Employee Benefits.
This post is not intended to be exhaustive, nor should any discussion or opinions be construed as legal advice. Readers should contact legal counsel for legal advice.
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