1427 - Employer Notification Requirements on Premium Assistance Programs (Historical View)

** Effective: 6/4/2020 9:45:45 AM - 6/4/2020 9:49:21 AM **

Status: Active

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Category

Benefits and Insurance

Audience List

Synopsis

This policy:

Informs on the Children’s Health Insurance Program Reauthorization Act (CHIPRA) for employers to notify employees about premium assistance programs under Medicaid and Children’s Health Insurance Program (CHIP) to help certain individuals pay for their employer-sponsored health coverage.

Introduction

The CHIPRA requires employers to provide the Premium Assistance under Medicaid and Children’s Health Insurance Program (CHIP) Notice to inform employees of premium assistance opportunities in the state where the employee resides to assist them in paying for their employer-sponsored group health coverage. 

The state may be subject to penalties for failing to comply with the notification requirements.

Statement

Employer Notification Requirements

Premium Assistance under Medicaid and the Children’s Health Insurance Program (CHIP) Notice

Effective immediately, state departments and agencies are required to issue the Premium Assistance under Medicaid and Children’s Health Insurance Program (CHIP) Notice to employees who are newly eligible for state-sponsored health coverage. They should issue the Notice, with the Health Benefits Plan Enrollment Form (CalPERS HBD-12) and Summary of Benefits and Coverage Notice, no later than the first day the employee is eligible to enroll in health coverage and annually thereafter, during Open Enrollment.

The Notice provides information to individuals who are eligible for state-sponsored health coverage on potential opportunities for premium assistance under Medicaid or CHIP in the state where the employee resides. These premium assistance programs may help eligible employees pay for their state-sponsored health coverage. The Notice provides information on who to contact for additional information and how to apply for premium assistance.

Employees who are eligible for state-sponsored health coverage, but not currently enrolled, may enroll within 60 days of becoming eligible for premium assistance under Medicaid or CHIP, or upon termination from these programs.

Departments may distribute the Notice to employees by interoffice mail, first-class mail, or electronically. For electronic distribution, employees must use a computer as part of their daily, normal job function, or have consented to electronic delivery in a manner that demonstrates they can effectively receive the Notice via electronic delivery, per the Department of Labor notification disclosure safe harbor. Additionally, the Notice must be provided to employees upon request.

Application

Not applicable.

Authorities

Resources

Forms

Web Pages

Authorized By

Adria Jenkins-Jones
Chief Deputy Director, Executive Office

Contact Person

Angela Acker
Health Policy Analyst, , Health Policy
Phone: 916-322-9795
Fax: 916-322-3769
Email: angela.acker@calhr.ca.gov

Superseded Policies

Not Applicable.