Dealer Guidance Regarding Requirements Under Health Care Reform

McLEAN, Va. –

New guidance for dealers regarding the requirements of health care reform laws has been issued this week, according to a bulletin from NADA Regulatory Affairs posted in Thursday's issue of NADA Headlines.

The bulletin said that “temporary guidance” was provided by U.S. Department of Labor regarding the written notice employers are required to provide to employees, under the Patient Protection and Affordable Care Act.

The DOL also offered model notices for dealers' use.

Under PPACA, employers must issue written information about state and federally-facilitated health insurance exchanges to employees, along with instructions on how to request assistance.

The notice must describe the availability of a premium tax cut as applicable, and outline the implications of an employee’s choice to purchase a qualified health plan through an exchange.

NADA said the notice requirement was scheduled to take place on March 1 of this year, but the DOL has now indicated that distribution of notices will take place in late summer or fall, in coordination with the open enrollment period for exchanges.

NADA encourages dealers to contact a health care consultant, insurance carrier or other professional in choosing the correct notice form for their dealership, and for instruction on completing and distributing the forms to employees.

Model notices issued by the DOL include options for employers offering an employee health plan; those who do not offer a plan; COBRA election; and COBRA election redline version.