In July of 2013, the Obama Administration announced that it was delaying the large group reforms of its insurance mandate until 2015. That was a significant issue for companies that knew they would have to provide coverage for a significant number of employees. The smaller groups and individuals who are required to purchase insurance will still need to have that in place by January 1st of 2014, however, as the change does not apply to them.
For companies to fall under the mandate extension, they need to have 50 or more full-time employees. However, that’s not as simple as it sounds. These employees are what’s considered to be “full time equivalent” workers. If they have worked an average of 30 hours or more per week in a given month, they fall under that designation. Companies need to keep careful track of their workers’ hours in order to determine whether they fall under the mandate or not. With the large group reforms delayed, many companies that would otherwise have to spend a lot of money for insurance very soon will be able to wait a bit longer.
For more information on large group health insurance in the Redlands, CA area, contact Bernardini & Donovan Insurance Services today.