On March 23, 2021, the Centers for Medicare & Medicaid Services (CMS) announced that it is extending access to a special enrollment period (SEP) through Exchanges on the federal www.HealthCare.gov platform due to the coronavirus (COVID-19) pandemic. Originally available through May 15, 2021, the extended SEP provides three additional months for enrollment, allowing eligible individuals to enroll in Exchange coverage through Aug. 15, 2021.
COBRA Subsidy Provisions of the American Rescue Plan Act
The American Rescue Plan Act (ARPA), signed into law March 11, 2021, provides a 100% subsidy of premiums for employer-sponsored group health insurance continued under the Consolidated Omnibus Budget Reconciliation Act of 1986 (COBRA) and similar state continuation of coverage (mini-COBRA) programs.
ARPA subsidies cover the full cost of COBRA or mini-COBRA premiums from April 1, 2021, through Sept. 30, 2021, for employees (and their qualifying family members), if the employee lost or loses group health insurance due to an involuntary job loss or reduction in work hours.
COVID-19 Relief Bill Comparison Chart
President Joe Biden recently signed into law a $1.9 trillion relief bill, known as the American Rescue Plan.
The chart below provides an overview of the highlights of the bill and how it compares to the two previous relief bills signed into law in 2020.
DOL Proposes to Rescind Independent Contractor Rule
On March 11, 2021, the U.S. Department of Labor (DOL) announced a proposal to rescind the Independent Contractor final rule. The rule was originally published in January, but its effective date has been delayed as the result of a freeze the Biden administration ordered on regulatory changes adopted late into the previous administration.
DOL Delays Effective Date for 2020 Employee Tip Rule
On Feb. 26, 2021, the U.S. Department of Labor (DOL) delayed the effective date of its 2020 employee tip rule to April 30, 2021. This rule was originally scheduled to go into effect on March 1, 2021.
The rule prevents employers from keeping their employees’ tips and specifically prohibits managers and supervisors from keeping any portion of employee tips, including any from a tip pool.