Boardman Law Firm

Affiliate of the network
skip to content

Reading Room

Contact Cindy

phone: (608) 283-7543

fax: (608) 283-1709

Email

FYI: Changes in Group Health Plans due to Children's Health Insurance Program Reauthorization Act

By Cindy Van Bogaert
February 17, 2009

Here is your latest FYI: Employee Benefits Update from Cindy Van Bogaert, Partner and Chair of the Employee Benefits Practice Group at Boardman Law Firm LLP.

This FYI provides information about some of the changes for employer group health plans due to the Children's Health Insurance Program Reauthorization Act of 2009 which was signed into law on February 4, 2009.

Here are the main changes for employer group health plans due to this law:

  • There is a new "premium assistance subsidy" that can affect some employer group health plans. States can opt to offer a premium assistance subsidy to eligible low-income children and their families.
  • The new law creates new special enrollment rights with respect to certain Medicaid or State child health plan coverage and premium assistance subsidies.
  • The new law requires that new notices be given by group health plans in States providing premium assistance subsidies.
  • The new law requires that group health plan administrators disclose information about plan benefits to States upon request regarding certain Medicaid and State child health plan participants.
  • There is a penalty of up to $100 per day for failure to comply with the notice and disclosure requirements.

The new special enrollment rights are effective April 1, 2009. Other effective dates vary.

What should employers do?

  • Address plan administration choices and changes now.
  • Contact your attorney regarding changes to your plan design, documents, notices, and forms.

Please contact me if you would like more information.

This FYI is not legal advice. Individuals should seek advice based on their particular circumstances from their own counsel. Nothing in this FYI is intended to be used, and no information can be used, for the purpose of avoiding penalties under the Internal Revenue Code, or promoting, marketing, or recommending to another party any transaction or matter addressed in this FYI.

If you have any questions or need assistance, please contact Cindy Van Bogaert at (608) 281-7543 or Email.

Would you like to have FYI: Employee Benefits Update sent directly to your e-mail inbox? If so, please send your request, with e-mail address, to Cindy Van Bogaert at Email.