The Patient Protection and Affordable Care Act (ACA)


The Patient Protection and Affordable Care Act (ACA) was signed into law by President Obama on March 23, 2010.  Perhaps one of the more controversial laws of our time, it implements comprehensive health care reform with health insurance and benefit reforms.  Since the ACA was signed into law, there have been many changes to health insurance plan designs that have already been implemented.  Many of these changes, however, are scheduled to be implemented in 2014 and later, including the Pay or Play Rule.

The Pay or Play Rule’s implementation is delayed until January 1, 2015.  Under this rule, œLarge Employers must provide œaffordable health insurance coverage or pay a penalty.  A Large Employer is one with 50 or more full time or full time equivalent employees.  Employers need to be aware that for purposes of determining whether an employer is considered œlarge, certain interests of various family members may be attributable to the employer for purposes of meeting the 50 employee threshold.

Employers need to comply with the ACA provisions already in effect and should prepare to comply with those provisions set to take effect in the near future.