Employee benefits expert Patrick Haraden recently suggested strategies for employers coping with the challenges presented by healthcare reform at the New England Employee Benefits Council.
Haraden cautioned that while selecting and employing strategies, businesses should take care to stay current on evolving regulations. Eligibility, coverage and appeals processes should be explicitly defined in documentation, and benefits professionals should be prepared to collect and distribute new information on laws, regulations and guidance quickly.
He noted regulations define minimum coverage levels, employer contribution levels and participation levels, as well as who qualifies as a dependent and the difference between full-time and part-time or seasonal employees.
This is important because many businesses are responding to the changes by reducing their number of full-time employees, requiring proof of eligibility and documentation showing the relationship between an employee and his or her dependents.
These measures can limit coverage to fewer individuals, but not if laws or regulations redefine terms. Haraden noted human resources departments and company policies can only go so far given the government determines whether an employee can be considered part-time.
Because the regulatory environment is still evolving, companies should be prepared to alter their strategies rather than implement a single solution to current circumstances. However appropriate the measures are immediately, they may become obsolete in short order.
