WV State Updates - 2015 Jan 03 No.01

The State of West Virginia Offices of the Insurance Commissioner released Informational Letter No. 196 in response to the passage of the PACE Act. In light of the PACE Act’s passage, for plan years that begin on or after Jan. 1, 2016, small employers are defined as those who employed an average of 1-50 employees on business days during the preceding calendar year and large employers will be those who employed an average of at least 51 employees on business days during the preceding calendar year. West Virginia will not be applying the state option to extend the definition of small group to those employing 1-100. The bulletin also clarifies that although current West Virginia law considers employers with two to fifty employees as small employers, the lower threshold of two employees is preempted by PPACA, meaning that employers having only one employee are considered small employers under the law.

It is important to note that the PACE Act deals only with from which market (small or large) an employer must buy its plan. It does not alter in any way the PPACA employer mandate that requires an employer with 50 or more full-time equivalent employees to offer an affordable, minimum value plan or face penalties. That federal requirement? continues.

Informational Letter No. 196 »