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4 Responses

  1. Health Reimbursement Arrangements

    The final regulation next addresses the effect of health reimbursement arrangements (HRAs) on affordability. Amounts newly made available to an employee through an HRA that is integrated with ACA-compliant employer-sponsored health coverage when the employee may use the HRA to pay premiums are counted toward an employee’s required contribution to determine affordability. Amounts newly made available to an employee through an HRA that is integrated into with eligible employer-sponsored coverage that an employee may only use to reduce cost-sharing is counted toward determining minimum value. If HRA contributions may be used either to cover premiums or reduce cost-sharing, they are considered for determining affordability and not minimum value.

    HRA contributions, however, are only taken into account if the HRA and the primary employer-sponsored coverage are offered by the same employer. They are also taken into account for determining affordability or minimum value if the amount of the annual contribution is determinable within a reasonable time before an employee must decide whether or not to enroll.

    Hope Hetico RN MHA
    http://www.CertifiedMedicalPlanner.org

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  2. 3 in 5 Employers Do Not Offer an HSA Alongside Their High Deductible Plan

    A Health Savings Account (HSA) offered in conjunction with an HDHP enables employees to set aside pre-tax dollars to cover out-of-pocket medical expenses. Employers may also contribute to their employees’ HSA to provide a base level of funding.

    Yet, three in five employers do not offer an HSA alongside their high deductible plan. This is especially true of businesses with fewer than 50 employees – a segment that accounts for nearly 30% of all working Americans.

    Source: The Guardian Life Insurance Company of America

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  3. Consumer Driven Care 2017 and Beyond – Data, Policy, Issues, Trends, and More

    The 2016 Kaiser Family Foundation / HRET Survey of Employer-Sponsored Health Benefits indicates that the percentage of covered workers enrolled in an HSA or HRA account-based HDHP has risen from 4% in 2006 to 29% a decade later in 2016. In fact, the portion with consumer driven plans rose fifteen percentage points since the dawn of the ACA (from 13% in 2010 to 29% in 2016).

    While consumer driven health plans and consumerism initiatives have grown substantially since tax advantaged HRAs were introduced in 2002, and HSAs/Qualified HDHPs in 2004; it is anticipated that they will become an even greater focal point of health policy going forward, with the Trump Administration and Republican Congress taking charge of the healthcare policy agenda in 2017.

    Stakeholders positioning themselves in 2017 and beyond are well served to re-familiarize themselves with the components. issues, trends, challenges, opportunities and current data related to consumer driven health plans, including HSAs, HRAs, HDHPs, other related products, technology and consumerism initiatives.

    Julie

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