Additional Details on Employer Marketplace Notice

Additional Details on Employer Marketplace Notice

Last week, we provided updated information about the employer Health Insurance Marketplace notice that employers who are subject to the Fair Labor Standards Act (FLSA) are required to send to employees by Oct. 1, 2013.

However, there is some confusion surrounding what information employers are required to provide on the forms and what is optional.  You can find more information on my site, by clicking here:

Section 18B of the FLSA, as added by Section 1512 of the Affordable Care Act (ACA), states the notice to inform employees of coverage options must include the following:

  1. Informing the employee of the existence of the Marketplace (referred to in the statute as the Exchange) including a description of the services provided by the Marketplace, and the manner in which the employee may contact the Marketplace to request assistance;
  2. If the employer plan’s share of the total allowed costs of benefits provided under the plan is less than 60 percent of such costs, that the employee may be eligible for a premium tax credit under section 36B of the Internal Revenue Code (the Code) if the employee purchases a qualified health plan through the Marketplace; and
  3. If the employee purchases a qualified health plan through the Marketplace, the employee may lose the employer contribution (if any) to any health benefits plan offered by the employer and that all or a portion of such contribution may be excludable from income for federal income tax purposes.

All of that information can be found by clicking here:

Employers who would like to fill out the information on Pages 2 and 3 of the form may do so. However, the information that ACA requires is found on the first page of the model notice.

We have also received questions about who is subject to the FLSA. This link from the DOL may provide some additional assistance. However, the employer needs to make the determination on whether it is subject to the FLSA.

If you have any questions at all, please call our offices, we’re here to help.  Call us at: 800-362-2809

Mike Alexander Jr.
ABM Insurance & Benefit Services, Inc.
Digital Insurance Office