Extended Transition Relief

Extended Transition Relief

Small employers may yet again, see transition relief through the 2018 calendar year for states and carriers that have agreed to the extension according to recent CMS guidance.  While Congress debates changes in the law, transition relief allows employers to continue to use their pre-community rated plans beyond the dates in the original ACA law.  If employers switch carriers or switch to a community rated plan, their transition relief ends and they can no longer use their previous plan.

Employers who plan to keep their pre-ACA plans may want to switch to a January 1 renewal date, if they haven’t done so already, to truly maximize the amount of time they have to use this plan.  While it is expected that the insurers in Kentucky and Ohio will be able to offer this extension, some final decisions are pending.  Please contact your Business Benefits team to discuss your options in regards to your transition relief plan.