In breaking news last week, the White House announced new delays to the employer mandate.
- Companies with 50-99 employees/full-time equivalents will now have until 2016 to provide affordable health coverage under the ACA, a year later than expected.
- Larger companies aren’t left out- they get a break as well. Large companies need only offer insurance to 70% of their full-time workers in 2015, lowered from 95%. The higher threshold will begin in 2016.
- Companies with fewer than 50 employees (or full-time equivalents) are not subject to the employer mandate.
The delays come at a time when most companies (67%) believe the ACA will have a negative impact on the bottom line this year, according to the 2014 McDonald Hopkins Business Outlook Survey. Though the delays allow companies more time to comply, it certainly will not reverse or prevent continuous change in the insurance industry.
What do you think of the ACA delays?