CHIPRA: How It Affects Your Group Health Plan

Plan sponsors should notify their employees with regard to their special enrolment rights as soon as possible, but no later than April 1, 2009.

On February 4, 2009, the Children's Health Insurance Program Reauthorization Act of 2009 (CHIPRA) was signed into law by President Obama. CHIPRA allows states to subsidize premiums for employer-provided group health coverage for eligible children, but it also imposes certain requirements on plan sponsors. First, plan sponsors must notify employees of a new special enrollment opportunity. Second, plan sponsors must provide disclosure to their employees. Third, plan sponsors must provide disclosure to state agencies. CHIPRA applies to both fully insured and self-insured group health plans. The most pressing of these three obligations is the special enrollment changes, which are effective April 1, 2009.