Your HR and Benefits Specialists

HRS/TND Associates, Inc.

The HR-Edge August Edition

Volume 9, Issue 2, 8/13/2010

Welcome

 

What is Health Reform really reforming?

 

HRS Seminar - Health Reform Part 2

 

State of the COBRA Subsidy Address

 

Mini-COBRA and Subsidy

 

New Administration Programs Announced

 

New Clients

 

Go to www.hrstndassociates.com for past editions

Welcome to the August edition of the HR-Edge.  As always, there are many hot HR topics right now and so little time to report it.  In this issue we are highlighting just a few recent and critical matters. 

Back in April HRS held its first seminar on the new Health Reform legislation – all gazillion pages of it!  Time has passed and a few items have managed to surface that need the attention of any employer providing any form of health care benefit.

 

The real test begins on 9/23/2010.  At that time all plans whose plan year starts after that date must begin to comply with the PPACA (Patient Protection and Affordable Care Act).  Just to hit the highlights of some of those items:

1. Dependent coverage to age 26 must be provided

2. Pre-authorization may not be required for OB/GYN and ER care

3. Employee cost sharing for preventive services must be eliminated

4. Some (not all) pre-existing condition exclusions are banned

5. Life time dollar limitations are eliminated

6. Small business tax credits are retroactive to 1/1/2010

7. OTC reimbursement in flex or 125 plans is eliminated

8. Wellness grants will become available

9. Mandatory reporting of value of medical plans becomes an W-2 reportable item

Rescission is prohibited except in cases of outright fraud.

 

Since the March, 2010 passage of this Act, most of our clients with plan renewals have  been seeing exceptionally high renewal rates:  30%, 50%, even as high as 90%!!   Some of this may be due to almost ALL carriers using some form of health underwriting before renewal; some may be due to the higher than usual trend increases.  However, we suspect that most of these high increases as due to carriers hedging their bets on the real cost of providing coverage under PPACA.  Contact Tom Dondore with questions and look out for our next Seminar on PPACA.

We have set October 5, 2010, a Tuesday, for the next HRS seminar.  As usual it will be held at Cabela’s in Hamburg, PA beginning at 9 am. 

 

We will discuss the entire gamut of Health Reform issues presented by the passage of PPACA.  Long and short term implications will be covered and our emphasis will be on small business concerns.

 

Subjects will include:

· Immediate actions required of Grandfathered plans

· Retro effective elements of PPACA

· What to expect at the first renewal after PPACA effective date

· How to secure your allowed tax credits

· Can a high risk pool help control you plan costs

· What are exchanges and how can they be utilized

· Wellness rules

· Plan design requirements

· Retiree coverages

· Lactation rooms

· What is going to happen with future premiums

…and much more.

 

Your invitation to this seminar will be in your email box within the next few days and we urge you to sign up quickly as seats are limited and we anticipate this will be a very popular topic.

What is the state of subsidized COBRA? Anyone involuntarily terminated or laid-off after May 31, 2010 is not eligible for COBRA subsidy under the ARRA. Those who were eligible for subsidy will still be able to have their entire 15 months of subsidized COBRA. Senators Debbie Stabenow and Charles Schumer have both expressed interest in extending the subsidy. However, the longer we go without an extension, the less likely passage will occur.

HRS is pleased to announce that we have started two new administration programs: Section 125 Cafeteria Plans (FSA and Dependent Care) and MERP & HRA Plans.

 

All programs include complete tracking and adjudication of claims with follow-up of denials, full reporting and discrimination testing with form 5500 assistance for the Section 125 plans.

 

For more information on any of these programs please email hrguys@hrstndassociates.com

HRS/TND Associates, Inc. is a full service Human Resource consulting and HR outsourcing firm based in Reading, PA.  Our team of senior level Human Resource professionals provides consultation and service in all aspects of Human Resource Management.  Our capabilities include employee relations, benefits, recruiting and staffing, compensation, HR administrative services, surveys, audits, policy and handbooks, performance management, testing, background checking, and training.  We are experts in full or partial Human Resource outsourcing where we become your HR department.

 

For further information, please check out our website at www.hrstndassociates.com

 

Removal from mail list…

If you no longer wish to receive this newsletter, send an email to hrguys@hrstndassociates.com  and place “remove” in the subject line.

No more subsidy eligibility means those following mini-COBRA are off the hook now right? Wrong! Governor Ed Rendell has amended PA mini-COBRA. Those who were eligible for subsidized mini-COBRA are now eligible for 15 months of coverage instead of 9 months. Anyone who ran out of their 9 months of subsidized mini-COBRA must be notified and allowed the chance to continue their coverage uninterrupted.

 

Makes your head spin? Contact Sean Glasser by email at cobra@hrstndassociates.com or by phone, 610-371-9505 x28 and he’ll help you get it straighten out.