1. W-2 Reporting – Many employers are required to report the cost of employer-sponsored health coverage on Forms W-2 for the 2012 calendar year. (Those employers who issued fewer than 250 W-2 forms for 2011 are exempt from this deadline.) On April 26, 2012, the IRS issued several Notices intended to assist you in establishing the value to be reported. Click here to access the IRS website and these notices.
2. Provide Summary of Benefits and Coverage (“SBC”) – Employers who provide group health plans for employees will be required to issue the newly required SBC to each eligible employee during open enrollment beginning or after September 23, 2012. After September 23, 2012, employers must also provide an SBC to new hires, or other employees who make enrollment changes mid-year.
Click here for more details and links to the SBC template. Remember as the sponsor of the group health plan, it is the employer who has responsibility to ensure compliance with the requirements. If your insurance company, consultant, or third party administrator is creating the SBC for your group health plan, it is in your best interest to review and approve what is given to you prior to distribution.
More information on each of these items may be found on MSEC’s health care website after you login.
Stay tuned for the next posting on more immediate actions to take.