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Proposed Increases in Maximum Rewards Offered Under Wellness Programs
Sidley Austin LLP [Guidance Overview] Nov. 27, 2012 "The preamble [to the proposed regulations] states that the Treasury Department, the [DOL] and [HHS] decided to propose to increase to 50% the maximum reward for programs designed to prevent or reduce tobacco use because the [ACA] allows health insurers to vary premium rates in the individual and small group markets by a ratio of 1.5 to 1 for those who use tobacco (i.e., allowing a 50% premium surcharge for tobacco use). In another set of proposed regulations released by HHS on the same day ... insurers in the small group market that impose a tobacco use surcharge would be required to offer a wellness program consistent with the wellness program regulations provisions regarding programs designed to prevent or reduce tobacco use." |
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