Sign up for our upcoming webinar, Preparing For the 2022 ACA Filing Season, on October 26 at 11:00 AM, PT!

Sign up for our upcoming webinar, Preparing For the 2022 ACA Filing Season, on October 26 at 11:00 AM, PT!

Home Affordable Care Act ACA Automatic Enrollment Repealed

ACA Automatic Enrollment Repealed

< 1
by Robert Sheen
ACA Automatic Enrollment Repealed

The “automatic enrollment” provision of the Affordable Care Act, never enforced, has been repealed under the budget deal hammered out between Congress and the White House and signed into law by President Obama.

The repeal was widely supported by employers. Accomplished via a two-sentence paragraph halfway through the 15-page , it became effective immediately with Obama’s signature.

As written in the 2010 ACA legislation, the provision required employers with more than 200 full-time employees to automatically enroll new full-time employees in a company-sponsored health insurance plan and to automatically continue the enrollment of current employees.

However, federal regulators delayed enforcement of the automatic enrollment requirement until formal regulations were issued. Apparently this was not a priority for the IRS and the Departments of Labor and Health and Human Services, because the regulations were never issued.

Employers are free to establish automatic enrollment programs if they wish to do so; the repeal simply means they are not required to do so.

We’re committed to helping companies reduce risk, avoid penalties, and achieve 100% ACA compliance. For questions about the ACA contact us here.

Related posts

Brought to you by Trusaic

Featured In

© 2024 Copyright Trusaic – All Rights reserved.