Q.- An employee wants to be reimbursed from her health flexible spending account plan for the cost of diet food. She provided a note from her doctor saying that she is morbidly obese. Can we reimburse the cost of her diet food from her FSA?
The IRS released the 2016 limits for high deductible health plans and health savings accounts. These limits take into account cost of living adjustments.
Last week, the IRS released new Frequently Asked Questions and Answers addressing health care reform reporting requirements. The Affordable Care Act requires applicable large employers (those with 50 or more full-time employees) (called an ALE) to file information returns with the IRS and provide statements to their full-time employees about the offer of health coverage. An ALE may consist of a single employer member or a group of related employers. The reporting requirements apply to each separate member of the group. ALE members that sponsor self-insured group health plans also report information about the health coverage provided by filing information to the IRS and providing coverage information to employees.
Q.- Our premium rates increased a lot at our latest renewal. Why is this?
The government recently released guidance for employers to use when structuring wellness programs. See our prior articles on wellness programs here. One additional item employers will have to consider when implementing a wellness initiative is the application of HIPAA privacy and security rules.
The IRS released a simple publication explaining the reporting requirements under health care reform. Click here for a copy of the publication.
Q.- An employee voluntarily dropped her health coverage April 30. She then terminated employment May 2. Do we have to offer her COBRA coverage?
The National Labor Relations Board recently held that a catering company in New York City violated the National Labor Relations Act when it terminated an employee for an obscene Facebook post about a supervisor.
Applicable large employers (employers with 50 or more full-time employees) have to be concerned with health care reform reporting requirements.
In addition, insurers, and self-insured employers, regardless of size, that provide minimum essential coverage to an individual must report information to the IRS and provide information to each covered individual. The information is used to determine the months in which the person was covered by minimum essential coverage and satisfied the shared responsibility requirement under health care reform.
Q.- We had an employee who was hired in October 2014 and was involved in a car accident a few weeks later. If he had been at work the whole time, his health coverage would have started December 1, 2014. He never came back to work. We added him to coverage thinking he was going to come back to work, and we forgot to remove him from coverage. At this point, the earliest date that our insurer will cancel his coverage is March 1, 2015. Do we have to send him a COBRA notice?
In EEOC v. Ford Motor Company, the 6th Circuit Court of Appeals held that telecommuting up to four days a week was not a reasonable accommodation under the Americans with Disabilities Act (ADA). Under the ADA, employers must make reasonable accommodations to a qualifying employee with a disability if the employee is able to perform the essential functions of the job with the reasonable accommodation in place.