Healthcare News

Notice Requirements on Exchanges Delayed

1/25/2013 The Affordable Care Act provides that, in accordance with regulations promulgated by the Secretary of Labor, an applicable employer must provide each employee a written notice informing the employee of the existence of Health Insurance Exchanges at the time of hiring or with respect to current employees not later than March 1, 2013.

The Department of Labor has concluded that the notice requirements will not take effect on March 1, 2013 for several reasons:

First, this notice should be coordinated with HHS's educational efforts and Internal Revenue Service (IRS) guidance on minimum value. Second, we are committed to a smooth implementation process including providing employers with sufficient time to comply and selecting an applicability date that ensures that employees receive the information at a meaningful time.

The Department of Labor expects that the timing for distribution of notices will be the late summer or fall of 2013, which will coordinate with the open enrollment period for Exchanges.

The Department of Labor is considering providing model, generic language that could be used to satisfy the notice requirement. Future guidance on complying with the notice requirement is expected to provide flexibility and adequate time to comply.

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