ACA Reporting
ACA Compliance Lessons Learned From Recent Reporting Seasons
Common themes emerge when reflecting on recent ACA reporting seasons that can help employers reduce administrative burdens and improve accuracy.
COBRA
Question of the Week - ICHRA and COBRA
Q.- We contribute to an Individual Coverage Health Reimbursement Account for our employees to purchase their own health coverage. Do we have to offer COBRA for the benefit?
Q.- We contribute to an Individual Coverage Health Reimbursement Account for our employees to purchase their own health coverage. Do we have to offer COBRA for the benefit?
A.- Yes. An ICHRA is a type of Health Reimbursement Account plan. The employer makes contributions to the HRA and the individual uses the money in the HRA to buy their own individual medical plan (not a medical plan provided by an employer) or Medicare. Money in the HRA may be used for qualifying medical expenses. To have an ICHRA, the employee must have either individual medical coverage or Medicare coverage. HRAs are subject to COBRA and therefore an ICHRA is subject to COBRA.
Benefit Allocation Systems (BAS) provides online solutions for: Employee Benefits Enrollment; COBRA; Flexible Spending Accounts (FSAs); Health Reimbursement Accounts (HRAs); Leave of Absence Premium Billing (LOA); Affordable Care Act Record Keeping, Compliance & IRS Reporting (ACA); Group Insurance Premium Billing; Property & Casualty Premium Billing; and Payroll Integration.
MyEnroll360 integrates with major insurance carriers for enrollment eligibility management (e.g., Blue Cross, Blue Shield, Aetna, United Health Care, Kaiser, CIGNA and others), and with leading payroll platforms for enrollment deduction management (e.g., Workday, ADP, Paylocity, PayCor, UKG, and others).
This article is for informational purposes only and is not intended as legal, tax, or benefits advice. Readers should not rely on this information for taking (or not taking) any action relating to employment, compliance, or benefits. Always consult with a qualified professional before making decisions based on this content.
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