51–100 Transition – or Not – to SBG

Working TogetherJanuary 1, 2016, is the date the Affordable Care Act provision redefining “small group” as 2–100 employees is slated to take effect. Whether or not that reclassification actually happens is a topic hotly debated. Either way, you and your clients can count on Health Net.




It’s just the second quarter 2015, but already Health Net is looking ahead to 2016 and the next big provision of the Affordable Care Act.On January 1, 2016, small business groups will be redefined from 2–50 employees to 2–100 employees. Unless there’s transitional relief. And that’s where the uncertainty comes in.

What we know is that California has codified the new definition of small group via statute but tied it to “the extent consistent with” the Affordable Care Act. Meaning things could change in California. The Arizona Department of Insurance has issued a transitional relief option, but it’s leaving it up to the carriers to decide whether to implement it. Oregon is working on a transitional relief plan. Washington is not yet clear.

Health Net has you covered no matter how the cards fall. Whether it’s the same approach for all states or different in each, we are ready to support your 51–100 groups. Health Net’s strategy will help you protect your block of business – and keep it growing.

As rules and relief decisions are finalized, we will announce them here. Plus, our regulatory experts are hard at work updating reform resources on www.healthnet.com, so that you have a one-stop information source that will help your clients make 2016 coverage decisions.

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Jennifer Moore