ACA Requires Transitional Reinsurance Fee for 2014-2016: Employment Law Manual Updated

Author: Gloria Ju

The Affordable Care Act (ACA) established the transitional reinsurance program to help fund the cost of covering high-risk individuals in the individual health insurance market. For 2014 through 2016, health insurance issuers and sponsors of self-insured group health plans must pay a fee per covered life, per year.

Annual enrollment counts must be submitted to the government by November 15 of each year, with fees due by January 15 and November 15 of the following year. However, for 2014, the deadline for submitting annual enrollment counts has been extended to December 5; the deadlines for paying the fees have not changed.

The Health Care Benefits section of the Employment Law Manual has been updated with the transitional reinsurance program requirements for 2014 through 2016.