Obama Administration Delays Health Insurance Mandate for Large Employers Until 2015

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The Obama Administration announced on July 2 that it was delaying until 2015 implementation of the requirement that employers with 50 or more employees provide qualified health insurance for their employees, or pay a penalty. The announcement, which came from the Treasury Department, noted that the Administration had “heard concerns about the complexity of the requirements and the need for more time to implement them effectively. ”

The Treasury statement noted specifically that the administration expects to issue proposed regulations this summer that (1) would implement sec. 6055 of the Patient Protection and Affordable Care Act (PPACA) (P.L. 111-148), regarding information reporting by insurers, self-insuring employers, and other parties that provide health coverage; and (2) would implement sec. 6056 of PPACA, which requires information reporting by certain employers with respect to the health coverage offered to their full-time employees.  After these rules are finalized, the Administration hopes that most large employers will voluntarily report this information in 2014, before the reporting requirements are fully implemented in 2015.

Since the mandate is being delayed, the shared responsibility payments (the penalties for not providing coverage in 2014) will not apply until 2015.

Comments

  1. John Tull says:

    Is anyone on your Blog site, which typically is written in “point of view” going to mention the obvious political ploy that delaying this presents from this Administration? I find it incredulous that your opinions are often given, but in the face of clear reasons, all you do is report what has been reported by hundreds of other news sources.

    It is clear, I assume, to even the most casual reader of this delay that everyone knows that this is a failure waiting to happen, so why let that failure “happen” during the mid-term elections, right?

    • Danielle Capilla says:

      We strive to provide neutral, unbiased fact-based reporting at Wolters Kluwer. We thank you for taking the time to read our content and hope that you find it useful.

  2. John Tull says:

    A fair enough point, I respect that…I just like lively discussion about these things :).

    J.T.