10 ACA questions your small-employer clients are asking

This is complicated, but essentially when determining the rules insurance companies must follow for health plans, “they generally count all employees (full- and part-time) and companies with 50 or fewer total employees as small groups in most states (although in some states the cut-off is 100 employees), according to HPA’s new white paper called — 10 ACA FAQs for Small Employers. The group notes that for 2016, companies with 100 or fewer total employees will be classified as a small employer in every state.
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Companies with non-grandfathered plans in the small-group market will change in terms of essential health benefits (they must offer plans that cover the 10 essential benefits with no annual or lifetime dollar limits), cost sharing limitations (they must follow actuarial values, out-of-pocket limits and deductible limits) and modified community rating rule (this is the biggest change for small businesses, as insurance companies can no longer rate based on group size, industry, gender or health status). “This will, of course, have an impact on the premiums for small group plans,” HPA’s report states.
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