NEWS & INFORMATION
Each month, we add a selection of benefit-related articles and links to this page. Keep yourself informed with our current and archived information.
January 2012
CLASS dismissed: Shelving of the CLASS Act Presents Communications Opportunities and Challenges for Employers
Arranging and financing long-term care is an issue everyone will face yet no one wants to talk about. However, following the Health Department's move to table the Community Living Assistance Services and Supports Act, planning for long-term care is becoming part of the national conversation - and that presents opportunities and challenges for employers.
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EBSA Makes 2011 5500 Information Available
Although it is probably not high on the list of priorities for plan administrators, the end of a calendar year usually means the start of the process of preparing 5500s.
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IRS Issues New Guidance on W-2 Reporting on Health Plan Costs
The IRS released new guidance on the requirement that employers provide information to employees on the cost of employer-provided group health plan coverage (Notice 2012-9). The guidance comes in the form of 39 questions and answers. It supersedes Notice 2011-28 and makes changes to requirements that were issued in Notice 2011-28.
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Putting the Spotlight on Employees: Done properly, focus groups can help uncover potential landmines and fine-tune your benefit plans and communications
After months of crunching numbers, your company concludes the only way to control its rising health care costs is to replace its current plan with a high-deductible, consumer-driven health plan.
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SJC Order State to Cover Legal Immigrants
Massachusetts lawmakers must quickly find about $150 million to provide health insurance to tens of thousands of legal immigrants, after the state’s highest court ruled yesterday that they were illegally excluded from subsidized coverage available to other residents.
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Workers Risk Severe Financial Hardship without Basic Life and Disability Insurance
Many workers feel more strongly about insuring their homes and cars than insuring their ability to provide for their families after a death or disabling injury.1 The result is a workforce underinsured for both life and disability protection — and vulnerable to severe financial hardship.
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December 2011
Despite Efforts, Employers Fall Short When it Comes to Wellness Engagement
As U.S. companies continue to ask workers to shoulder a greater burden of the cost of health care consumers want their employers to do more to help them improve their health and get the most from their employer-provided health and wellness plans
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Health Care Reform: 60-Day Advance Notice of Plan Changes
The Patient Protection and Affordable Care Act (PPACA) requires health plans and health insurance issuers to provide a summary of benefits and coverage (SBC) to applicants and enrollees.
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HHS Launches HIPAA Audit Program
The HITECH Act requires HHS to provide for periodic audits to ensure covered entities and business associates are complying with the HIPAA Privacy and Security Rules and Breach Notification standards.
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House Hearing Finds Little Support for Small Business Health Tax Credit
The House Ways and Means Oversight Subcommittee held a hearing to discuss the relative unpopularity of the Small Business Health Tax Credit that is part of the health care reform law.
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Workers behind on saving for retirement, but they're even more behind on planning for long-term care
Seventy-five percent of Americans have never had a conversation about long-term care with loved ones.
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November 2011
Employee HIRD 2012
Employee Rights Notice Posting
As of January 31, 2012, most private sector employers are required to post a notice advising employees of their rights under the National Labor Relations Act.
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Firms to Charge Smokers, Obese More for Health Care
Like a lot of companies, Veridian Credit Union wants its employees to be healthier. In January, the Waterloo, Iowa-company rolled out a wellness program and voluntary screenings.
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Medicare Secondary Payer: CMS Raises Threshold for HRA Reporting
The Medicare, Medicaid, and SCHIP Extension Act of 2007 created mandatory reporting requirements with respect to Medicare beneficiaries who have coverage under group health plans (GHPs). The mandatory reporting requirements allow the Centers for Medicare & Medicaid Services (CMS) and GHPs to determine their respective payer status and coordinate benefits for Medicare beneficiaries.
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PPACA: Benefits Account Group Asks for Summary Standards Changes
A benefits group wants federal agencies to require the new health plan summary descriptions to go to a tightly focused group of people.
Premiums Take Another Big Leap in 2011, while HDHPs Pick up Market share
Annual premiums for employer-sponsored family health coverage increase once again in 2011
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October 2011
IRS Gives Break on Misclassified Workers
The Internal Revenue Service is offering a break to employers who come clean about wrongly classifiying workers as independent contractors to avoid paying federal payroll taxes, the agency announced Wednesday.
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Top 10 Private Health Plans
Now in its sixth year, the "NCQA's Health Insurance Plan Rankings" is based on combined scores for health plans in Healthcare Effectiveness Data and Information Set, commonly called HEDIS; the Consumer Assessment of Healthcare Providers and Systems, or CAHPS, and NCQA Accreditation standards scores.Read More
Understand Your Risk as a Fiducuary
You're involved with your company's employee benefit plans. Maybe you're in the HR department in a big company or someone wearing many hats in a small business.
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September 2011
New Guidelines Require Plans to Fully Cover Birth Control, Other Preventive Services
The Department of Health and Human Services (HHS) has posted new guidelines stemming from the health care reform law that will have a major impact on many employer-sponsored plans' coverage of women's preventive services.
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Mass. Health Premiums Highest in Nation
Perhaps people living in the Bay State area should move south if they want a little health care cost relief.
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New Rule Requires Union Rights Posters at Work
The National Labor Relations Board has approved a new rule that requires private employers to notify workers about thier right to forma union.
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August 2011
Comprehensive Workplace Health Promotion Programs
The U.S. Department of Health and Human Services (HHS) recently announced the availability of $10 million to establish and evaluate comprehensive workplace health promotion programs across the nation to improve the health of American workers and their families.
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Employee Benefit Plan Audits: Common Mistakes
Employee benefit and retirement plans are required to comply with a number of complex laws and regulations, and failure to do so can result in significant penalties.
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Employee Handbooks: Common Legal Mistakes
Your employee handbook is an important document. Not only does it help employees understand company policies, promote solid company-employee communication and set a consistent standard of expectations, but it can also have serious legal ramifications.
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Health Plan Summary of Benefits and Coverage
The Patient Protection and Affordable Care Act (PPACA) requires health plans and health insurance issuers to provide participants with a summary of benefits and coverage no later than March 23, 2012.
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HHS Issues Final Rule to Control Premium Increases
The Department of Health and Human Services (HHS) has issued a final regulation aimed at controlling large health insurance premium increases. The rule, which was issued on May 19, 2011, provides that:
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June 2011
Employee Benefit Compliance Chart: Notice and Disclosure Rules
The following chart is a summary of basic federal notice and disclosure compliance requirements that apply to group health plans and/or employers under various employee benefits and employment laws. It includes the additional reporting and disclosure obligations created by health care reform.
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Health Care Reform: HHS Issues CLASS Act FAQs
The Patient Protection and Affordable Care Act established a voluntary, consumer-funded long-term care insurance program known as the Community Living Assistance Services and Supports Program (CLASS Act or Program). The goal of the program is to provide additional options for people who are disabled and require assistance to continue living as independently as possible.
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IRS Increases Health Savings Account Limits
On May 17, 2011, the Internal Revenue Service (IRS) released IRS Notice 2011-32, which makes changes to Health Savings Accounts (HSAs) effective for calendar year 2012.
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Medicare Prescription Drug, Improvement & Modernization Act
In December 2003, President Bush signed the Medicare Prescription Drug, Improvement & Modernization Act of 2003 (the Act) into law.
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Medicare Secondary Payer: Mandatory Reporting
On Section 111 of the Medicare, Medicaid, and SCHIP Extension Act of 2007 (MMSEA Section 111) adds mandatory reporting requirements with respect to Medicare beneficiaries who have coverage under group health plan (GHP) arrangements as well as for Medicare beneficiaries who receive settlements, judgments, awards or other payment from liability insurance (including self-insurance), no-fault insurance or workers’ compensation.
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Workplace Wellness: Use State Benchmark Data to Improve Your Wellness Initiatives
Gathering data about your employees is an essential building block for any effective wellness program. The more you know about their habits, health and current lifestyle, the better you can tailor your program to address their needs. While collecting data directly from employees is worthwhile, sometimes that approach can be flawed. Consider state benchmark data as a beneficial alternative.
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April 2011
Avoid 10 Common ADA Mistakes
The ADA Amendments Act of 2008 broadened the definition of disability previously established by ADA and effectively expanded the group of people who would qualify as disabled. The amendments put more pressure on employers to provide reasonable accommodations and created more potential liability for companies that are not in careful observance of the law.
Benefits statements show employees true compensation
Estimates show that benefits, such as health insurance, paid time off, pension plans and disability insurance, make up approximately 30 percent to 40 percent of an employee’s total compensation package.
Busting Medicare Myths
Though more than 46 million senior citizens and disabled individuals rely on Medicare’s web of health benefits, there tends to be a great deal of confusion concerning how Medicare operates and state eligibility.
CDA 2010 Consumer Disability Awareness Survey
Continued economic volatility. Rising home foreclosures. Eroded retirement accounts. Stubbornly high unemployment. All have heightened American workers' sensitivity to the need for a reliable stream of income and financial security. Yet most don't realize a disability could interrupt their income - and fewer still are protected from that loss by adequate savings, private insurance OR government programs.
IRS Q&As on Form W-2 Reporting
The Patient Protection and Affordable Care Act (PPACA) added Internal Revenue Code (Code) section 6051(a)(14), which requires employers to report the aggregate cost of employer-sponsored group health plan coverage on their employees’ Forms W-2. This requirement was originally effective for the 2011 tax year and the W-2 Forms that would be provided in January 2012. However, the IRS later made reporting optional for 2011.
More employers turning to tech-based benefits communications
U.S. employers used more technology-based communication with employees during the last open enrollment and increased face to face contact with employees as well, according to a new Towers Watson survey.
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Obama signs bill killing 1099 provision
President Barack Obama has signed the first rollback of last year’s health care law, a bipartisan repeal of a burdensome tax-reporting requirement that’s widely unpopular with businesses.
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March 2011
Legal Alert: Tips on writing an employee handbook
Not complying with current law can be expensive in today's legal climate. Employers should review their employee handbooks and employment-related policies to make sure they are up to date.
Life and disability insurance gaps seen in singles
Just 39% of single and never-married employees have life insurance compared to 61% of all 2,071 working Americans responding to a recent online Harris Interactive survey for the Colonial Life & Accident Insurance Company.
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Health Care Reform: CLASS Act Long-Term Care Benefits.
The Patient Protection and Affordable Care Act establishes a voluntary, consumer-funded long-term care insurance program known as the Community Living Assistance Services and Supports Program (CLASS Act or program). The goal of the program is to provide additional options for people who are disabled and require assistance to continue living as independently as possible.
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Health Care Reform Timeline
On March 23, 2010, President Obama signed into law the health care reform bill, the Patient Protection and Affordable Care Act. This legislation, along with the Health Care and Education Reconciliation Act of 2010, makes sweeping changes to the U.S. health care system. These changes will be implemented over the next several years.
Nondiscrimination Rules for Benefit Plans
Many employee benefits are excluded from employees’ gross income and thus are not taxable when specific conditions from the IRS are met. One of these conditions is often some type of nondiscrimination requirement, to ensure the benefit plan does not discriminate in favor of certain highly compensated or key employees. It is important to take such nondiscrimination rules into account to be certain that your tax-exempt benefit plans remain compliant with IRS regulations.
Worker Classification
The relationship between the employer and the worker is not always straightforward, but despite the possible discrepancies, it is extremely important to properly classify your workers. The tax implications vary depending on the type of worker, and the penalties for misclassifying a worker can be huge.
August 2010
Tufts Health Plan, state settle on insurance rates
Massachusetts insurance regulators today struck a deal with Tufts Health Plan to limit an upcoming rate increase for individuals and small businesses, making Tufts the third major health insurer to reach a settlement with the state, and resolving a four-month legal dispute.
Read MoreSmall businesses applaud new health care measure
Small-business leaders say new legislation aimed at controlling their health care costs brings them a giant step closer to leveling the playing field in Massachusetts’ David-and-Goliath-like health insurance system.
Read MoreJuly 2010
Health Reform regs overhaul claims appeal process
The Obama Administration released interim final regulations aimed at creating a system of checks and balances for the internal and external appeals processes of health claims.
Read MoreNEW EMPLOYER FORM W2 HEALTH INSURANCE REPORTING REQUIREMENTS
The Patient Protection and Affordable Care Act (PPACA) adds a new reporting requirement aimed at improving health care transparency and cost awareness by requiring employers to report the value of employees’ health benefits on Form W2s.
Download Document 172 KB, PDFJune 2010
Rate Cap for Insurer overturned.
In a blow to the Patrick administration, an insurance appeals board yesterday overturned the state’s cap on health premium increases for small business and individual customers covered by Harvard Pilgrim Health Care.
Read MoreDisabilities, claims on the rise
The leading causes of disability in the U.S. are musculoskeletal and connective tissue disorders, such as back pain and joint and muscle disorders, according to research from the Council for Disability Awareness.
Read MoreCourt Weighs in on Mental Parity Suit
A federal trial court will be letting the Obama administration proceed with efforts to implement Mental Health Parity and Addition Equity Act interim final rules.
Read MoreHHS Questions and Answers: Keeping the Health Plan You Have: The Affordable Care Act and 'Grandfathered' Health Plans
During the health reform debate, President Obama made clear to Americans “if you like your health plan you can keep it.” He emphasized that nothing in the health reform law would force businesses or consumers to change health plans or change their doctor. The new “grandfather” rule implements the grandfather provisions of the Affordable Care Act designed to allow strong health plans to continue to grow and remain vibrant. The grandfather rule enables businesses and families to keep their plan while adding important new benefits for all Americans with private insurance. It provides both market stability and a more level playing field as people, businesses, insurers and medical providers adapt to the historic reforms of the Act.
Here are answers to key questions about how the Affordable Care Act, and the “grandfather” rule which implements part of the Act, will affect individuals, employers and insurers.
Read MorePwC Report: Employers will continue cost-shifting to workers
PricewaterhouseCoopers? Health Research Institute expects medical costs to increase by 9% in 2011, a decrease of .5% from the 2010 growth rate, to which the nation?s employers will embrace cost sharing as a means to control these escalating costs.
Read MoreManaging cancer-related LTD claims
Cancer diagnoses are a growing proportion of many employers' long-term disability claims, yet the incidence rate of group cancer claims has remained relatively flat - about 12% of all LTD claims received.
Read MoreConsumers Worry Over Health Reform's Costs: Deloitte
A survey found that many consumers are worried about changes to their current health insurance plans and the cost of insurance under the new Patient Protection and Affordable Care Act.
Consumers with employer-sponsored coverage seem to be the most skeptical of health care reform, according to a survey by Deloitte Consulting L.L.P, New York. Deloitte found 61% of these consumers believe their employer will reduce benefits for dependents and retirees. And 32% think employers will stop providing any health coverage for employees.
Read MoreHealth Insurance Caps Blasted in State Official's Email
The official in charge of monitoring insurer solvency at the Division of Insurance sent an internal e-mail this spring warning that rates the state imposed on health plans could lead to "a train wreck" in the insurance industry.
Read MoreMay 2010
Dental and Vision Plans Eligible to Recieve Small Employer Tax Credit Under New Guidance
"An employer's premium payments are only taken if they are paid under a “qualifying arrangement,” under which the employer pays at least 50% of the premiums for each employee enrolled in the employer's plan . . . . [I]f an employer offers a major medical insurance plan and a stand-alone dental plan, the employer must separately satisfy the requirements for a qualifying arrangement with respect to each type of coverage."
Read MoreIRS Releases Small Group Tax Credit Examples
The Internal Revenue Service has come out with guidelines for small commercial and nonprofit employers that want to take advantage of a new health insurance tax break.
Read MoreTeaching Doctors The Price Of Care
When Dr. Ryan Thompson, an internist, was a medical resident at Massachusetts General Hospital in Boston a few years ago, he worried that he and his fellow trainees weren't learning about the cost of medical treatments, the financing of health care and the impact of high medical bills on their patients
Read MoreIRS offers guidance on dependent coverage
The Internal Revenue Service issued guidance on how tax-free health insurance coverage under the health reform law should be provided for employees’ children who are under 27 years of age.
Read MoreParsing the New Law on Long-Term Care
The Community Living Assistance Services and Supports Act, or Class Act, the first national plan to help the great majority of Americans who have no insurance for long-term care, became law in March.
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