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ARTICLE · 05 JUNE 2013

Final Regulations Issued On Nondiscriminatory Wellness Programs – New Rules For Outcome-Based Programs

Dickinson Wright PLLC
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On May 29, 2013, the Departments of Labor, Treasury and Health and Human Services released final regulations on nondiscriminatory wellness programs in group health plan coverage.

United StatesEmployment and HR
Jordan Schreier
Jordan Schreier
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On May 29, 2013, the Departments of Labor, Treasury and Health and Human Services released final regulations on nondiscriminatory wellness programs in group health plan coverage. The regulations largely follow the proposed regulations that were issued in November 2012, with a few important exceptions. Many employers are in the process of designing their 2014 wellness programs, so prompt attention to the final regulations is important.

The following are highlights of the final regulations.

General Provisions

  • Prior to PPACA, HIPAA's nondiscrimination rules generally prohibited health insurers and group health plans from discriminating on the basis of health status as to eligibility, benefits or premiums. However, this prohibition did not apply to health-contingent premium or cost-sharing discounts, surcharges, or other incentives offered or imposed through a wellness program that met specific requirements. The final regulations replace the existing HIPAA

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