As of October 1, 2013, employers must notify its employees about the availability of the health insurance marketplaces or exchange. This applies to essentially all businesses and requires employers to provide the Exchange Notice to all employees on payroll. Employers may modify the template to meet their needs, and it must include employer-specific information. Here are some frequently asked questions and answers regarding this requirement:
- Which Employers? With some very limited exceptions, all employers, regardless of the number of employees and regardless of whether or not you currently offer a group health insurance plan must provide the Exchange Notice.
- Which Employees get the Notice? Notices must be provided to all active full-time and part-time employees. Even if you do not currently offer a group health plan or, even if the employee has waived coverage if you do offer, they all must be notified.
- What does the Notice have to say? The Department of Labor has provided a template and we encourage our clients to use the template. The Notice must provide some general information about the Exchange/Marketplace and some specific information about your company. Further, the Notice explains that employees can purchase health insurance from private insurance companies through a health insurance exchange known in Michigan as the Mi Health Marketplace.
- When does the Notice have to be Sent? For employees hired on and after October 1, 2013, notice of the Marketplace must be provided within 14 days of hire.
- How does the Notice Get Sent? The Notice must be provided in print or through electronic delivery for those of your employees who have access to a computer at work with an assigned company email. It is recommended that you retain a signed copy of the notice from each employee for your records.
Model Notices Provided by the Department of Labor can be accessed using the links below or available on the Department of Labor’s website.
- Model Notice for Employers Who Offer a Health Plan
- A Model Notice for Employers Who DO NOT Offer a Health Plan