Can an employer REQUIRE employees, thru payroll deduction, to contribute toward the cost of a self-insured MERP?
I have an employer purchasing a high deductible plan from a carrier with a $2500 deductible. They are having a TPA make that plan perform like a $500 deductible to each EE. The 85% of the premium from the carrier is being paid by the employer and 15% is paid by the EE. The employer wants to use a "Premium Equivalent" for the cost of the MERP, and have the EEs pay 15% of that as well.
Does this sound compliant? I've had 3 large TPAs tell me it is not. Those TPAs don't support self-insured MERP plans either. Would anyone be able to recommend a TPA in Illinois that support's self-insured MERPs?
thanks.
