Benefits

Affordability for Medical Coverage

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Wells Insurance

Affordability for Medical Coverage
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Affordability for Medical Coverage

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April 2025

Whether an employer offers affordable medical coverage impacts eligibility for premium tax credits toward individual Marketplace coverage. In addition, applicable large employers must offer affordable medical coverage if they want to avoid employer shared responsibility rules under §4980H. Therefore, it is important for employers to understand and communicate whether coverage offered under an employer-sponsored group health plan is “affordable.” We’ll dive into the details of how to calculate a medical plan’s affordability for employees and their family members to help employers when setting plan contribution rates. Additionally, for applicable large employers, we’ll address how to use the affordability safe harbors and how to report offers of coverage to avoid §4980H(b) penalties. Subscribe and keep up to date as we continue to release each new webinar. Don't miss out on this opportunity to boost your compliance confidence! Reach out to us if you have questions about Employee Benefits for your Business.

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