Healthcare reform is now law. 

The healthcare law is enormous. We will provide a high level overview shortly. However, from a true strategic standpoint, we intend to parcel information to you in digestible pieces, as it’s needed.

1.  Healthcare plans in existence on March 23, 2010 are exempted (”grandfathered”) from some but not all of the law’s requirements.

2.  Other than adding new enrollees and dependents, any changes to these plans may destroy their grandfathered status, thus subjecting the plan to all of the new requirements. You should balance the benefit of changes against the additional compliance burdens that may result. (We don’t yet have sufficient guidance on what changes won’t disturb grandfathering.)

3.  Healthcare plans maintained pursuant to collective bargaining agreements are fully exempt from the new requirements, until the last applicable bargaining agreement which existed on March 23, 2010 expires. 

Click here to read the entire article. 

CONSIDER ACTION BY APRIL 15, 2010: Employers, particularly those residing within the jurisdiction of the Sixth Circuit (i.e., Kentucky, Ohio, Michigan, and Tennessee) who made significant involuntary severance payments to employees, may want to consider filing protective FICA tax refund claims for 2006, and later years. The deadline for doing so is April 15, 2010. Please contact a SKA attorney immediately if this may affect you. 

Click here to read the entire article.

Click here to read the latest Burning Benefits News regarding Health Plan Reporting, Mental Health Parity and COBRA Subsidy. 

Lawyers’ proactive advice to clients about legal developments is something of a “Goldilocks” process. We want to advise you of the truly important developments only. In that spirit, attached to this e-mail is our most recent Burning Benefits News.

COBRA SUBSIDY:  there’s a reminder of the COBRA premium subsidy notice that’s due February 17. Remember that COBRA applies to employers with 20 or more employees, and who sponsor a group health plan. 

Click here to view our latest issue of our Burning Benefits News. 

Stevenson Keppelman Associates has received top honors among Michigan employee-benefits law firms. Click here for more details. 

We thank our clients and friends for your support and collegiality. We owe all recognition to you.

Click here for more information on this topic.

Bob Stevenson was again interviewed and heavily quoted (although not with complete accuracy!) in Michigan Lawyers Weekly. The story concerned the 6th Circuit’s recent upholding a Michigan insurance rule. The rule prohibited insurance contracts from including so-called “discretionary clauses” that give insurers discretion (within limits) to determine eligibility for benefits. This is similar to the discretion granted ERISA plan administrators in a 1989 U.S. Supreme Court case, Bruch v Firestore. Bob argued that in the current case (American Council of Life Insurers, et al v Ross), the 6th Circuit has added to the burden of multi-state benefit plan sponsors, which now must deal with a patchwork of claims review processes. Also, both ERISA and centuries of common law recognize such discretionary powers, and already prohibit abuse of discretion.

SKA attorneys provided to clients and friends two webcasts on urgent benefit updates. The second was held on March 19th. We thank you for your attendance, and for your following feedback.

For those who would like to review content, or if you missed the webcasts, the phone presentation was recorded. Below is the information you need if you would like to listen to it again. If you have any questions, or problems accessing the recording, please contact Kristy Zelenka at kristy@skalaw.com.

Click here to view the latest issue of our Burning Benefits News.