The American Rescue Plan Act of 2021 (“ARPA”) provides a 100% COBRA premium subsidy for “assistance eligible individuals” for periods of coverage occurring between April 1, 2021 and September 30, 2021, as summarized here. An “assistance eligible individual” includes any qualified beneficiary who is eligible for COBRA coverage as a direct result of a
COBRA Subsidies for Involuntary Termination or Reduction in Hours – What is Old is New Again
There is an old saying – “People with weak stomachs should not watch sausage or legislation being made.” A great application of that aphorism is seen in the current COBRA subsidy proposed legislation making its way through Congress.
The idea is simple – if people need continuing health care coverage (COBRA coverage) because they are
Department of Labor Finalizes New Safe Harbor for Electronic Delivery of Retirement Plan Disclosures
On May 21, 2020, the U.S. Department of Labor (the “DOL”) finalized its proposed regulation expanding electronic delivery for retirement plan disclosures. On balance, the final regulation is generally consistent with the proposed regulation, although there are a number of key differences, including the addition of a new “direct email” delivery option not included
PBGC Announces COVID-19 Extensions for Premium Payments and Other Filing Deadlines
On April 10, 2020, the Pension Benefit Guaranty Corporation (the “PBGC”) announced that deadlines for upcoming premium payments and certain other required filings due from April 1, 2020 through July 14, 2020 will be extended to July 15, 2020 as further described below.
The PBGC’s announcement came a day after the Internal Revenue Service (the
SECURE Act: Changes Exclusive to 401(k) Plans
The SECURE Act, included as part of the Further Consolidated Appropriations Act, 2020, was signed into law on December 20, 2019. This post highlights changes that are exclusive to 401(k) plans. For a chronological guide to key retirement plan issues raised by the new law, please click here.
Increase to Maximum Default Deferral Rate
New Jersey Individual Mandate Requires State Filings in March 2020
The Affordable Care Act’s individual mandate (i.e., the requirement that most individuals obtain adequate health insurance or pay a penalty) is dead. A side effect of the ACA mandate’s demise is that states are beginning to step-in and pass their own versions of the individual mandate. Massachusetts, of course, has long had an individual mandate
Executive Order Seeks to Improve Consumer-Driven Healthcare
On June 24, 2019, the President issued his Executive Order on Improving Price and Quality Transparency in American Healthcare to Put Patients First. The Executive Order directs regulators to take action to improve healthcare price transparency and to enhance consumer-driven healthcare. The success of consumer-driven healthcare is dependent on patients being able to act as
Let’s Talk – PBGC Pilot Mediation Project is Now Permanent
The Pension Benefit Guaranty Corporation (the “PBGC”) launched a Pilot Mediation Project in October 2017 to provide plan sponsors an opportunity to negotiate resolutions in Early Warning Program cases and in termination liability cases (see our prior post). Following its trial run, the PBGC announced last month that it would make the Mediation Program
Nationwide Injunction Halts Exemptions and Accommodations to the ACA Contraceptive Coverage Mandate
On January 14, 2019, a district court in the Eastern District of Pennsylvania granted a nationwide preliminary injunction halting the application of final regulations governing religious and moral-based exemptions from the Affordable Care Act (“ACA”) mandate to cover contraceptives without cost sharing. The final regulations would have dramatically expanded the scope of existing exemptions and