Affordable Care Act (ACA) Related Information for Contributing Employers to the Equity-League Health Trust Fund
We have received many inquiries from employers that contribute to the Equity-League Health Trust Fund (the “Fund”), asking about compliance with the Patient Protection and Affordable Care Act (referred to as the “ACA” ).
We are happy to provide our contributing employers with the following information about the Fund’s status relative to various provisions of the ACA, in order to assist those employers in their compliance with respect to employees for whom they contribute to the Fund.
As you may know, the ACA imposes a penalty on large employers (defined as employers with 50 or more full-time employees) that either do not offer health coverage to their full-time employees or offer coverage that is not of minimum value or is unaffordable. In this connection, the government set forth a transitional rule for large employers participating in a multiemployer plan. Under this rule, such employers will not owe any penalty for full-time employees for whom they contribute to a multiemployer plan, if the following three criteria are met: (1) the employer is required to contribute to a multiemployer plan with respect to that employee pursuant to a collective bargaining agreement or other agreement; (2) coverage is offered under the plan to the employee and the employee’s dependent children up to age 26; and (3) the coverage offered is affordable and provides minimum value.
If you are a large employer, you should not be subject to the employer shared responsibility penalty with respect to those employees for whom you are obligated to contribute to the Fund. The Fund offers coverage to employees, to their spouses, and to dependent children up to the age of 26 who satisfy the Fund’s eligibility rules; the coverage offered meets the standards of minimum essential coverage, is affordable; and the Fund’s consultant has determined that the coverage also provides minimum value.
If you have any questions or concerns, please feel free to contact the Fund Office at (212) 869-9380 (New York City) or (800) 344-5220 (toll-free nationwide), and a representative will assist you.