HR Newsletter: 10/25/2023
With Employee Benefits & HR topics regularly in the news, it’s difficult to stay up to date. Our weekly newsletter will help you stay current. Check out this week’s edition.
Medical Loss Ratio (MLR)
The Affordable Care Act (ACA) requires health insurance issuers to spend a minimum percentage of premium dollars on medical care and health care quality improvement, which is intended to lower the cost of care. This percentage is known as "medical loss ratio" (MLR). In the large group insurance market, the required MLR is 85%; the small group and individual markets have a required MLR of 80%. However, each state may set a higher rate. When an issuer fails to meet the requisite MLR for a year, it must provide a rebate to its policyholders. MLR rebates for the 2022 calendar year are due to policyholders by September 30, 2023. An employer-policyholder that receives a rebate for its insured group health plan will be responsible for determining how to appropriately use the refund, particularly in the context of the Employee Retirement Income Security Act (ERISA).
Human Resources Summer Compliance Updates
It was a busy compliance summer for employers, as several impactful pieces of legislation/rulemaking were either effectuated or proposed that could significantly impact employer’s workplaces. The Pregnant Workers Fairness Act and material changes to the I-9 process were effectuated, and the Department of Labor proposed new rules regarding the white collar exemptions under the FLSA. This bulletin is intended to summarize these changes and provide employers with guidance on next steps to implement compliant policies and procedures within their organizations.
HR & Benefits Compliance Monthly Webinar Series: October-December 2023
Mark your calendars! We are excited to present our HR & Benefits Compliance monthly webinar series calendar for October-December 2023.
2024 Open Enrollment Checklist
For employers operating their group health and welfare plans beginning on or after January 1, 2024, now is the time of the year to prepare for open enrollment. Typically, the focus is on evaluating the services and performance of vendors, renewing rates, and considering design changes. In addition to these items, employers need to address various legal requirements. This Benefits Brief provides a checklist that covers these requirements for the 2024 plan year.
IRS Adjusts ACA Affordability Percentage for 2024
Just weeks ago, the IRS released Rev. Proc. 2023-29, which announced the 2024 indexing adjustments for two important percentages under the Affordable Care Act (ACA).