Health & Welfare Plans Newsletter

December 11, 2019

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[Official Guidance]

Text of Draft 2019 Instructions for IRS Form 8941: Credit for Small Employer Health Insurance Premiums (PDF)

31 pages; Dec. 10, 2019. "Eligible small employers use Form 8941 to figure the credit for small employer health insurance premiums for tax years beginning after 2009.... You're an eligible small employer for the tax year if you meet the following three requirements. [1] You paid premiums for employee health insurance coverage under a qualifying arrangement ... [2] You had fewer than 25 full-time equivalent employees (FTEs) for the tax year.... [3] You paid average annual wages for the tax year of less than $55,000 per FTE."

Internal Revenue Service [IRS]

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[Guidance Overview]

IRS Issues Guidance on Tax-Exempt Entities Funding Employee Benefits

"The IRS guidance addresses the UBTI computation for VEBAs, SUBs, and certain corporations that pay their entire net income to a VEBA, SUB, or social or recreational club. The IRS indicates that investment income earned by these entities during a year may be subject to unrelated business income tax regardless of whether the investment income is spent or retained, if the organization's year-end assets exceed the account limit."

RSM US

Justices Appear Sympathetic to Insurers in Dispute Over Risk-Corridor Compensation

" 'You pay in, we pay out if we feel like it. What kind of a statute,' [Justice Kagan] asked rhetorically, 'is that?' ... Alito seemed to be the only justice who was staunchly opposed to the insurers' position, making it very possible that they will be able to pull together at least five (if not more) votes to reverse the lower-court's ruling in favor of the government." [Maine Community Health Options v. U.S., No. 2017-2395 (Fed. Cir. Jul. 9, 2018; cert. granted Jun. 24, 2019; oral arg. Dec. 10, 2019)]

SCOTUSblog

The Answer for Gene Therapy Costs?

"Cigna has developed a unique program ... [which] will charge all participating clients a minimal fixed per-member monthly cost that ensures if any of these drugs are needed, it doesn't get paid by the employer plan. Initially, it will only address these two drugs, but the intent is for the plan to expand to include future high-cost gene therapy solutions. Aetna and Anthem are also working on addressing gene therapy coverage."

Frenkel Benefits

Wellness Plan Compliance Checklist (PDF)

"[1] Determine which laws apply to your wellness plan to ensure compliance (keep in mind that compliance with one law does not guarantee compliance with another law). [2] Comply with the notice requirements of each law (if applicable to your wellness plan). [3] Determine COBRA obligations. [4] Monitor upcoming litigation (watch for EEOC's new proposed regulations or other guidance)."

Cowden Associates, Inc.

[Sponsored]

COBRA: Simple Concept - Complicated Rules

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Jan. 16 webinar. COBRA requirements for employers, including plans subject to COBRA, special COBRA rules for Health FSAs, when COBRA must be offered and for how long, and required notices. BenefitsLink discountLearn more


Worksite Wellness Programs Can Be Lifesaving

"Worksite wellness programs can identify health issues before they produce symptoms -- which could have a big impact on your overall health.... But still, some of us need a little help getting there."

Corporate Synergies

Near-Term Employer Action Items for Local Paid Leave Laws

"Dec. 1, 2019 -- Texas: San Antonio Sick and Safe Leave law stopped in its tracks.... Dec. 20, 2019 -- Massachusetts: Employers must file for an exemption to use a private plan for paid family and medical leave to avoid first fiscal quarter remittance.... Jan. 1, 2020 -- Nevada: New paid leave law takes effect.... Jan. 1, 2020 -- Washington: Benefits under state paid family leave law become payable."

Lockton

White House, Democrats Reach Deal to Provide Paid Family Leave to Federal Employees

"The agreement appears to provide 12 weeks of paid leave for the birth, adoption or fostering of a child, but not the provision allowing for the care of an ailing loved one."

Government Executive

HSA Planning When Both Spouses Have High-Deductible Health Plans

"Financial advisors with clients who are married and who have mixed health insurance coverage can help their clients understand their actual HSA contribution limits, as these limits depend on the type of plan each spouse has. For spouses covered by separate self-only HDHP plans, each can contribute up to the maximum, self-only limit to their respective HSAs, but they can’t make up for any contribution shortfalls of the other spouse."

Nerd's Eye View

[Opinion]

AHIP Statement for House Energy and Commerce Committee Hearing on Universal Coverage 2019 (PDF)

"AHIP and our members believe that the best way to bring down costs is to improve what's working and fix what's not ... When the free market and public programs work together to bring down the underlying cost of health care while improving health and value, we can improve affordability, reduce premium growth, and expand access to high-quality care for every American."

America's Health Insurance Plans [AHIP]

Press Releases

Most Popular Items in the Previous Issue

BenefitsLink.com, Inc.
1298 Minnesota Avenue, Suite H
Winter Park, Florida 32789
(407) 644-4146

Lois Baker, J.D., President
David Rhett Baker, J.D., Editor and Publisher
Holly Horton, Business Manager

Article submission: Online form

BenefitsLink Health & Welfare Plans Newsletter, ISSN no. 1536-9595. Copyright 2019 BenefitsLink.com, Inc. All materials contained in this newsletter are protected by United States copyright law and may not be reproduced, distributed, transmitted, displayed, published or broadcast without the prior written permission of BenefitsLink.com, Inc., or in the case of third party materials, the owner of those materials. You may not alter or remove any trademark, copyright or other notices from copies of the content.

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