I entered the insurance world from a background of sales and customer service with limited knowledge about health insurance. I knew I had health insurance, I knew I needed health insurance, but I knew very little about the intricacies of employer offered health and wellness benefits. Entering this world was daunting, but as a self-proclaimed life-long-learner, I was up for the challenge! Teachers and peers can be a wealth of knowledge, but self-education is equally important. I am an analytical, detail-oriented and socially conscious person, so I knew it was time to do my research. Continue reading Taking Responsibility for Your Health Insurance Selections
Q. Does an employer need to complete Form 1095-C for an employee who terminates employment mid-year causing a COBRA qualifying event?
A. Yes, Form 1095-C is required to be completed in the year that an employee terminates. When employment termination is the COBRA-qualifying event, COBRA is never reported as an offer of coverage – even if the former employee actually enrolls in COBRA coverage. Per the IRS’ final instructions, report as follows for the months that COBRA was offered:
- Line 14 – Always use Code 1H (no offer of coverage).
- Line 15 – Leave Line 15 blank. You do not report cost information.
- Line 16 – Always use Code 2A (employee not employed during the month).
- Part III – Employers with self-insured plans will complete this section for former employees and dependents that enroll in COBRA and will continue to report for as long as COBRA coverage is in force.
By: Christine Gaiser, Senior Advisor and Simone Torneo, Senior Advisor
Q: Which employers are subject to the IRS reporting requirements?
A: All “Applicable Large Employers” (ALE’s) have ACA annual reporting responsibilities. An ALE is generally one with 50 or more full-time employees, including full-time equivalent employees. All ALE’s will need to provide the IRS and their full-time employees information returns concerning whether and what health insurance was offered to their full-time employees. Remember that regardless of size, all employers that provide self-insured health coverage to their employees must file an annual return reporting certain information for each employee they cover. Continue reading FAQ’s for Employer Reporting 6055 and 6056
We’re not quite in a hypercompetitive market, but we are definitely experiencing severe turbulence while effective underwriting and claims analysis is replaced by illogical market forces. The current pricing strategy employed by new entrants and Hartford mainstays, has introduced irrationality into an otherwise sophisticated underwriting approach. Our valued partners aren’t solely responsible. Compliance with the Affordable Care Act, complex funding strategies, and increased service level expectations, has led to consolidation in the broker distribution channel as well. This consolidation has left collateral damage, with some employing desperate tactics in an attempt to hang on. Here are the perspectives of three stakeholders: Continue reading Insurance Market Turbulence