Oct 06, 2020
It’s that time of year again! Some important compliance deadlines are coming up this fall and winter:
| October 14, 2020 |
Medicare Part D Notices: Employers offering prescription drug coverage must issue the Notice of Creditable Coverage to individuals by October 14, 2020. Note: Employers may provide the notice any time during the 12 months preceding October 14, 2020. |
| November 15, 2020 to December 15, 2020 | Special Open Enrollment Period for Small Groups: The ACA requires carriers to offer a one-month special open enrollment period (SEP) from November 15, 2020 to December 15, 2020 for a January 2021 effective date. The SEP is for groups that don’t have to meet contribution or participation requirements as long as they meet all other standard rules. |
| December 15, 2020 | Individual Exchange: Individuals must enroll in Marketplace/Exchange coverage for it to be effective January 1, 2021. Although the effective date is January 1, 2021, the enrollment for individuals has to be done during open enrollment for the individual exchange. |
| December 30, 2020 |
MLR Rebate Distribution: ERISA plan sponsors who received a Medical Loss Ratio (MLR) rebate on September 30, 2020 must pay the appropriate rebate amount to participants. If a plan sponsor paid the entire cost of the insurance, the employer could retain the entire rebate. The most common situation is when the plan sponsor and participants contribute toward the cost of coverage. In this case, the plan sponsor must determine the portions of the total plan cost contributed by both parties so the MLR rebate can be allocated among participants, plan costs, and the employer. Plan sponsors must first determine total participant contributions for the year used to calculate the MLR rebate. Current rebates are based on premiums paid to the carrier for the calendar year 2020. |
Contact your LISI Regional Sales Manager for compliance support.
