In this video, we discuss the Notice of Coverage Options, sometimes referred to as the Exchange Notice, the information that must be contained in the notice, and which employers are required to provide it to their employees.
The Notice of Coverage applies to most employers, whether they offer group health coverage or not. The notice must be provided to all employees, both full- and part-time, eligible and ineligible, within 14 days of being hired. Currently, there is no penalty for failing to provide the notice.
The primary guidance that we have about the Notice of Coverage Options is DOL Technical Release 2013-02, dated May 8, 2013. Links to that release, an FAQ from the DOL saying that there is no penalty for failing to provide the notice, and the two model notices are provided below.
- DOL Technical Release 2013-02: Guidance on the Notice to Employees of Coverage Options under Fair Labor Standards Act §18B and Updated Model Election Notice under the Consolidated Omnibus Budget Reconciliation Act of 1985
- DOL FAQ on Notice of Coverage Options
- Model Notice for employers who offer a health plan to some or all employees
- Model Notice for employers who do not offer a health plan