Impact of Health Care Reform on Small Business
In Colorado, a small employer is defined as a business with up to 50 full-time employees, including full-time equivalents. This definition determines whether a Colorado-based business will be subject to small group rating and if they can apply for group health coverage through Connect for Health Colorado.
If you offer group health coverage to your employees, your health plan may change when you renew your group health plan in 2014.
RMHP will offer a variety of new ACA-compliant plans and will assist you in selecting the best option for your needs.
If you offer the same group health coverage that was in place on March 23, 2010, you may be enrolled in a Grandfathered Health Plan (see non-grandfathered plan for specifics). RMHP will continue to offer these plans to you.
UPDATE - May 2014: Federal guidance, initially announced in November 2013, then adopted by Colorado in May, 2014, allows small employers to maintain their non-grandfathered plan for the upcoming policy year.
RMHP will offer the extension of non-grandfathered plans starting with September, 2014 renewals. The reason non-grandfathered plans renewing prior to September are not available for renewal is because RMHP does not have filed, approved renewal rates available to present to groups until mid-late July. Our renewal rates, filed the week of May 19th, 2014, will follow a 60-day review period by the Colorado Division of Insurance.
No matter what plan you have, your company must comply with new waiting period requirements for health insurance eligibility. The waiting period limit can be no more than 90 days for newly eligible full-time employees and will be implemented on your 2014 anniversary.
Your company may not extend the 90-day period to make coverage begin on the first of the month, the start of a payroll period, a regular business day or any other administratively convenient commencement-of-coverage date.
We know this can be complex. If you have questions, call us at 1-800-453-2981, option 1.