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The Latest Carrier Updates, Legal Alerts, Industry News and more.
Kaiser Small Group Bonus Program, Anthem Simplified Phone Numbers, Health Net Adds Hoag, CCSB Policy Change, Updates, News & More
Thursday, October 26 2023

Carrier Updates
Kaiser Permanente has announced a way to increase your earning potential with their new Small Group Bonus Program. New Small Groups with effective dates between Oct 10,2023 through Jan 31, 2024, take home a $100 bonus per enrolled member. Click Here For More Details

Carrier Updates
Anthem has simplified how you contact them. Now there’s just one toll-free Broker Services number for group business and one number for Individual business. Large and Small Groups (CA) – 833-747-1190. Individual business (any state) – 833-864-0133. Anthem has added a new interactive voice response system that lets you get quick answers to the questions asked most often without having to wait for a live agent. Answer a couple of brief questions to help confirm your credentials for that customer and select an option to get the information you need. Click Here For More Information

Carrier Updates
Hoag will be added to Health Net’s Full Network HMO and Full Network PPO networks for small and large employer groups. This network enhancement will increase access and choice in Orange County. Effective Nov 1, 2023 This network enhancement will increase access and choice in Orange County. Members enrolled in Health Net’s Full Network HMO and Full Network PPO networks will have access to Hoag’s highly ranked physicians, urgent care, imaging, and other services. For Help Quuting Health Net, Contact Your Dickerson Sales Rep Today!

Carrier Updates
Covered California for Small Business (CCSB) will begin to enforce their policy on payments that have been returned unpaid and the number of times a policy can be reinstated after termination for non-payment. Returned Payment Policy: The ability to enter one time or recurring ACH payments through MyCCSB.com, will be restricted for a 12-month span (365 days) when 2 RETURNED PAYMENTS have occurred on the account within a 6-month span (183 calendar days). After the first occurrence, a notice will be sent to the Employer mailing address on file, providing you with the reason for the returned payment. After the second occurrence, a notice will be sent to the Employer mailing address on file, providing you with the reason for the returned payment and notice that all payments must be made with a Cashier’s Check or Money Order for a period of 12 months beginning the first of the month following the last paid through date.Payment made with business or personal checks will be returned to sender. MyCCSB.com will automatically reinstate the ACH functionality after 365 calendar days from the last returned payment. For More Information Click Here

Carrier Updates
The IRS has released Notice 2023-70, which sets the applicable PCORI fee for plan years ending between October 1, 2023 and September 30, 2024 at $3.22 per covered life. This alert is of interest to all employers that sponsor self-insured group health plans, including Health Reimbursement Arrangements (HRAs). Note that the PCORI fee does not apply to most health FSAs. As a reminder, the PCORI was established as part of the Affordable Care Act (ACA) to conduct research to evaluate the effectiveness of medical treatments, procedures and strategies that treat, manage, diagnose or prevent illness or injury. Under the ACA, most employer sponsors and insurers were required to pay PCORI fees until 2019 or 2020, as it only applied to plan years ending on or before September 30, 2019. However, the PCORI fee was extended to plan years ending on or before September 30, 2029 as part of the Further Consolidated Appropriations Act, 2020. The amount of PCORI fees due by employer sponsors and insurers is based upon the number of covered lives under each “applicable self-insured health plan” and “specified health insurance policy” (as defined by regulations) and the plan or policy year end date. The fee must be paid on or before July 31st each year. The fees due by July 31, 2024 are for plan years ending in 2023 and are as follows: For plan years ending between January 1, 2023 and September 30, 2023, the fee is $3.00 per covered life. For plan years ending between October 1, 2023 and December 31, 2023, the fee is $3.22 per covered life. Insurance carriers are responsible for calculating and paying the PCORI fee for fully insured plans. The employer is responsible for paying the fee on behalf of a self-insured plan, including an HRA. In general, health FSAs are not subject to the PCORI fee. Employers that sponsor self-insured group health plans must report and pay PCORI fees using the second quarter IRS Form 720, Quarterly Federal Excise Tax Return. The second quarter form is generally not released by the IRS until the second quarter of the applicable filing year (usually in or around May of the applicable filing year). Therefore, the Form 720 used for the 2024 filing deadline will not likely be available until in or around May 2024, and employers who sponsor self-insured group health plans subject to the PCORI fee must wait to file until the correct Form 720 is available. The average number of covered lives for the plan year is generally calculated using the snapshot, snapshot factor, actual count, or Form 5500 method. These counting methods will be described in more detail in a future alert as we approach the 2024 filing deadline. Also note that because the PCORI fee is assessed on the plan sponsor of a self-insured plan, it generally should not be included in the premium equivalent rate that is developed for self-insured plans if the plan includes employee contributions. However, an employer’s payment of PCORI fees is tax deductible as an ordinary and necessary business expense. About the Author. This alert was prepared for Alera Group by Barrow Weatherhead Lent LLP, a national law firm with recognized experts on the Affordable Care Act. Contact Stacy Barrow or Nicole Quinn-Gato at sbarrow@marbarlaw.com or nquinngato@marbarlaw.com . The information provided in this alert is not, is not intended to be, and shall not be construed to be, either the provision of legal advice or an offer to provide legal services, nor does it necessarily reflect the opinions of the agency, our lawyers or our clients. This is not legal advice. No client-lawyer relationship between you and our lawyers is or may be created by your use of this information. Rather, the content is intended as a general overview of the subject matter covered. This agency and Barrow Weatherhead Lent LLP are not obligated to provide updates on the information presented herein. Those reading this alert are encouraged to seek direct counsel on legal questions. © 2023 Barrow Weatherhead Lent LLP. All Rights Reserved. Click Here to Read More

Carrier Updates
(Reuters) - A union coalition for Kaiser Permanente healthcare workers reached a tentative labor deal with the hospital system on Friday that included across-the-board wage increases after 75,000 members took part in a three-day strike last week. The strike was the largest recorded among medical workers and included nurses, medical technicians and support staff at hundreds of Kaiser hospitals and clinics from California to Virginia. New minimum wages will reach $25 per hour in California for union-represented employees over three years, and $23 per hour in other states where the company operates, a joint statement by the union and the company said. Acting U.S. Labor Secretary Julie Su took part in the negotiations, including during two all-night sessions over a 36-hour period, she said during a media briefing on Friday. The Biden administration's term has been marked by labor unrest in several industries, including by striking autoworkers, writers and actors. "I’m heartened to see healthcare workers and their employers take this critical step towards securing the pay, benefits, and working conditions these heroes deserve," President Joe Biden said in a statement. The Kaiser union coalition had threatened to strike again for a week starting Nov. 1. On Friday, it said it had withdrawn official notice for that action. Click Here to Read More