The U.S. Department of Labor (DOL) issued an interesting proposal last week that if implemented will greatly broaden the flexibility for establishing association health plans (AHPs.) The changing regulations may impact your healthcare coverage and small business in several ways; here is what the Department of Labor’s proposal would mean for you.
The Department of Labor Makes an Interesting Proposal
How small businesses are impacted by President Trump’s Executive Order.
The Executive Order issued in October by President Trump instructed the U.S. Department of Labor (DOL) to consider expanding access to association health plans (AHP). The Department of Labor published the proposed rule on January 5th; this will modify ERISA regulations to increase the availability of association health plans (AHP).
Association Health Plans For Small Businesses
Association health plans (AHP) are defined as:
“Health insurance coverage offered to collections of individuals and/or employer through entities that may be called associations, trusts, multiple employer welfare arrangements, purchasing alliances, or purchases cooperatives.”
Employers may not be subject to many Affordable Care Act reforms when they join together through an association to receive or purchase health insurance coverage. As many as 11 million Americans are employed by small businesses or sole proprietors; the new proposal would make it easier for those people to obtain health coverage.
Future of Small Business Healthcare
There are so many unpredictable aspects when it comes to the future of American healthcare. Here at PayWow, we strive to keep your small business update with all the latest news and information concerning your small business.
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