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ARTICLE · 24 MAY 2013

Affordable Care Act Update

Department Of Labor Issues Guidance For Notifying Employees Of Health Insurance Exchange Coverage Options

United StatesEmployment and HR

Phillip Schreiber is a Partner in our Chicago office

Department Of Labor Issues Guidance For Notifying Employees Of Health Insurance Exchange Coverage Options

On May 8, 2013, the U.S. Department of Labor (DOL) issued temporary guidance for employers to help them meet their obligations to notify employees of their health insurance exchange coverage options. State health insurance exchanges, also known as the Health Insurance Marketplace, are required by the Affordable Care Act (ACA) to allow individuals to consider and purchase coverage from a variety of available insurance plans.

Section 18B of the Fair Labor Standards Act (FLSA), which was added by section 1512 of the ACA, generally provides that an employer subject to the FLSA must provide each employee hired on or after October 1, 2013, notice about the Health Insurance Marketplace. This notice must be provided at the time of hiring. Employers must also provide the notice to existing employees by October 1,

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