At Sterling Benefits, we are proactively working with multiple resources to dissect the various facets of the law and to understand the guidelines and timelines it presents to our clients. You can expect that we will provide ongoing communications and information as interpretation and implementation details continue to unfold from the government.

Our priority at Sterling Benefits is to stay focused on delivering value and quality customer service to our customers as we work together with health care reform. Significant changes will take place in 2014. In the meantime, there are some items that will require attention much sooner. We will keep you posted as details and clarifications from the government are made available. We encourage you to review this information and utilize our office as a resource in addressing questions and concerns.

Friday, November 15, 2013

Regulatory change affecting Individual and Small Group business announced by President Obama

On 11/14/2013, President Obama announced that insurers may renew certain individual and small group health plans for 2014 without having to comply with new Affordable Care Act (ACA) requirements scheduled to take effect on January 1, 2014. Eligible policies include those with an effective date between January 1 and October 1, 2014 that would have otherwise been terminated.
According to the President, this change is “targeted” to those individuals who are in these policies today; it does not allow the sale of non-compliant plans to people not currently in plans. 
With this decision, state governors and insurance commissioners may allow insurers to continue to offer plans that may have otherwise been cancelled until the end of 2014.
Insurers that elect to take advantage of the transitional policy are required to:
  • Notify enrollees about ACA requirements that are not met by the coverage they are renewing.
  • Notify enrollees about the new health plan options and tax credits available on the public
    Marketplaces to those who qualify.
Insurers and states are still evaluating the policy change, and more detail is still expected regarding the announcement. We will share more information as it becomes available.
Posted by at
Labels: , ,