Compliance Overview – DOL’s Cybersecurity Program Best Practices for Plan Fiduciaries
The U.S. Department of Labor’s (DOL) Employee Benefits Security Administration (EBSA) has provided
guidance to assist plan fiduciaries and recordkeepers in their responsibilities to manage cybersecurity risks. According to EBSA, pension plans and health and welfare plans covered by the Employee Retirement Income Security Act of 1974 (ERISA) often hold millions of dollars or more in assets and store and/or transfer participants’ personally identifiable data, which can make them tempting targets for cybercriminals.
Compliance Bulletin – Mental Health Parity: New Comparative Analyses Requirements
On Sept. 9, 2024, the Departments of Labor, Health and Human Services, and the Treasury (Departments) released a final rule to strengthen the requirements of the Mental Health Parity and Addiction Equity Act (MHPAEA). The final rule focuses on nonquantitative treatment limitations (NQTLs) that health plans and health insurance issuers place on mental health and substance use disorder (MH/SUD) benefits.
Health Literacy Month (October)
October is Health Literacy Month. Those with low health literacy may not receive equal medical and
behavioral care because they do not have the same level of understanding as their provider. Ways to
improve health literacy include asking questions, researching your medical conditions, checking for
handouts or materials at the doctor’s office and having further conversations with your provider.
Benefits Buzz – ACA’s Pay-or-Play Affordability Percentage Increases for 2025
On Sept. 6, 2024, the IRS released the affordability percentage threshold for 2025 plan years under the Affordable Care Act’s(ACA) pay-or-play rules. These rules require ALEs to offer affordable, minimum-value health coverage to their full-time employees (and dependents) or risk paying a penalty.
For plan years beginning in 2025, employer-sponsored coverage will be considered affordable under the ACA’s pay-or-play rules if the employee’s required contribution for self-only coverage does not exceed 9.02% of their household income for the year. This is an increase from the affordability percentage for 2024 plan years (8.39%). Due to this increase, applicable large employers (ALEs) may have more flexibility when setting employee contribution levels for the 2025 plan year.
Live Well, Work Well – What to Know About This Year’s Flu Season (October)
In the United States, influenza (flu) season lasts from October through May, with peak flu activity between December and March.
What’s more, flu season in the Southern Hemisphere often indicates what’s to come in the United States. Data revealed that the 2024 flu season in the Southern Hemisphere was similar to previous flu seasons. With the potential for this year’s flu season to be severe in the United States, vaccination remains the most effective way to prevent the flu, especially severe disease and hospitalization.
The U.S. Centers for Disease Control and Prevention (CDC) estimates that the flu caused between 9 million and 41 million illnesses annually between 2010 and 2023.
View and download the latest Live Well, Work Well newsletter
Compliance Tracker – October
Upcoming Compliance Dates:
A | Provide ICHRA Notice for 2025 Plan Year (Calendar-year Plans Only) – Oct. 3, 2024
Employers that offer individual coverage health reimbursement arrangements (ICHRAs) that operate on a calendar-year basis must provide notice to eligible employees by Oct. 3, 2024.
B | Provide QSEHRA Notice for 2025 Plan Year (Calendar-year Plans Only) – Oct. 3, 2024
Employers that offer qualified small employer health reimbursement arrangements (QSEHRAs) that operate on a calendar-year basis must provide notice to eligible employees by Oct. 3, 2024.
C | Provide Medicare Part D Notices – Oct. 14, 2024
Employers must notify Medicare-eligible individuals by Oct. 14, 2024, whether the health plan’s prescription drug coverage is creditable or noncreditable.
D | File Form 5500 (Extended Deadline for Calendar-year Only Plans) – Oct. 15, 2024
Employers with calendar-year employee benefit plans that applied for the automatic 2.5-month filing
extension must file Form 5500 for the 2023 plan year by Oct. 15, 2024.
News Brief: Major Employers Signal Return to Office
The JLL’s Future of Work survey revealed that the number of organizations expecting employees to work on-site full timesurged to 44% in 2024 compared to 34% in 2022. According to the survey respondents, 95% of employers now require employees to be on-site at least one day per week.
More employers worldwide are becoming “office advocates,” scaling back flexible work policies and mandating five-day in-office work weeks. Meanwhile, the percentage of “hybrid adopters,” or those who allow employees to work from home at least once a week, dropped from 77% in 2022 to 56% in 2024.
“There is now a broadly even split between those organizations which favor some form of hybrid work styles and those expecting to see employees back in the office full time.”
-JLL’s 2024 The Future of Work report
Legal Update: New Notice Requirement for the Fixed Indemnity Coverage for 2025
Employers offering fixed indemnity coverage must comply with a new notice requirement for plan years beginning on or after Jan. 1, 2025. The new notice is designed to explain the limitations of fixed indemnity coverage and help prevent employees from mistakenly selecting such coverage as an alternative to or replacement for traditional health coverage.
Employers with fixed indemnity policies should ensure that enrollment,application and marketing materials for the 2025 plan year include the required notice.
Compliance Overview – Employee Assistance Programs
Employee assistance programs (EAPs) are work-based intervention programs that connect employees with resources to identify and address personal problems. EAPs typically include a variety of services to help employees remain healthy and productive, such as mental health counseling, substance use disorder counseling, financial advising, legal services, and resources to address family issues and other personal challenges. EAPs are usually offered at no cost to employees by third-party vendors. They can also be provided as a component of the employer’s group medical plan.
This Compliance Overview summarizes key requirements for EAPs. Employers sponsoring EAPs should ensure they are familiar with these compliance requirements.
Client and Employee Resources
The more your employees understand your benefit plans the more they become educated, empowered consumers. The programs you provide will also gain an enhanced value.
As your strategic partners in employee benefits, we can provide multiple avenues of ongoing support, including:
- Employee Meetings (English and Spanish)
- Webcasts
- Payroll Stuffers
- Poster Campaigns
- Newsletters
Carrier Directories
E-Verify is a web-based system that allows enrolled employers to confirm the eligibility of their employees to work in the United States. Click the image below to begin.
