As business owners scramble to update their employee benefit offerings ahead of the healthcare reform law, companies that don't have to provide coverage but would like to will have to wait another year before they can select from certain health exchange options.
The White House recently stated that while the SHOP Exchange is still scheduled to open in October, it won't be as comprehensive as they thought it would be. In fact, it won't be until at least 2015 that employees will be able to choose from a variety of health plans.
This online marketplace was originally established in order to assist entrepreneurs that employ 50 or fewer workers to purchase health insurance for their workers if they can't afford it.
John Arensmeyer, who heads the policy advocacy group Small Business Majority, told the Washington Post that the delay may ultimately dissuade small business owners away from buying health coverage for their workers, as it may give the impression that the process is riddled with red tape. He noted, however, that some states will avoid the delay because many are well on their way to establishing their own state-run exchanges.
"While we're disappointed it's not going to be there from day one, we're pleased that feature will be there in most of the exchanges that are being run by the states, and they will be there for all the states beginning in 2015," said Arensmeyer.
While small business owners are not required to purchase health insurance for their workers, there are still a number of requirements that they must satisfy before the ACA goes fully into effect. For example, all employers – regardless of their size – are required to distribute notices to their workers about the health exchanges opening. All employees who are on the payroll on or before September 30, 2013 must be notified, as noted by general practice law firm Vedder Price.
