SEGIP ESR October Review and Update

2018 ESR October 2018 Review and Updates

This newsletter provides you with four reminders; two are time sensitive:

 

1. Standard Administration Period. Complete by December 14, 2018.

The current Standard Measurement Period will end on October 16, 2018. All boards, commissions, and agencies must complete their Standard Administrative Period duties by December 14, 2018.

The Look Back Method and Agency Duties provides instructions on completing the Administrative Period duties and how to obtain the needed reports.

Reports will be available October 22, 2018. 

2. ACA Employee Eligibility Page. Complete by December 14, 2018.

Bring the SEMA4 ACA Employee Eligibility page up-to-date for every employee in your agency by December 14, 2018. The page must be completed for new hires, as well as for both full and part-time employees.

The ACA Employee Eligibility Page Manual provides detailed instructions on how to complete this page. (The manual was last updated in October 2016, but remains current.)

Accuracy is critical. This page helps generate the IRS Form 1095-C. The data reported on this form is given to the employee and reported to the IRS. The IRS uses that data to determine if an employer will receive a penalty under ESR.

SEGIP staff will update the page for any employee who did not experience a change in eligibility during calendar year 2018. We anticipate running this update by the end of November.

3. Appendix A Instructions. These instructions will be updated to reflect the 2019 health coverage rates.

Appendix A is a Marketplace (Exchange) worksheet that individuals use to apply for coverage and a tax credit or cost sharing reduction.

  • Employees may ask their agency HR department to help complete this form or they may choose to complete it themselves.
  • When an employee has applied for a premium tax credit the Exchange will issue an Employer Notice to the employing agency.
  • The Employer Notice will be sent to whatever address is entered on Appendix A. Be sure to enter the address of the staff assigned to process an Employer Notice for your agency.

Note that the 2018 health coverage rates will continue to be posted throughout this calendar year. The 2019 Appendix A Instructions will be posted in late October. 

4. Employer Notice. This is a reminder that action must be taken throughout the year when your agency receives one of these Notices.

These notices are issued by MNsure or another public Marketplace (Exchange). Your agency will receive a Notice when an employee qualifies for a tax credit (premium tax subsidy) to purchase health coverage through a Marketplace.

This is not notice of a penalty. It is notice that an employee has qualified for a subsidy and provides the employer time to make an offer of medical coverage if one is needed. In the future, the IRS may issue a penalty notice if that employee should have received an offer of health coverage but one was not made or if the offer was for coverage that did not meet certain standards.

Act immediately when your agency receives a Notice. The Employer Notice instructions are posted on the SEGIP website to help you process these Notices.

5. Visit the Insurance Eligibility page on SEGIP’s website. This page contains all the documents associated with ESR.