The RISQ RECAP:

July 31st – August 4th, 2023

Amwins Report Keys on Disruption in Cannabis Space

“The disruption in the cannabis space is having an impact on that insurance specialty from coast to coast, a new report out from Amwins shows. The report, Amwins State of The Market Report 2023: A Focus on the Cannabis Market, points to “notable transformations and shifts” that are causing insurance providers to refine offerings “to meet the unique needs and challenges” that are developing as cannabis sales in the Western U.S. slow and new markets rapidly come online in the East.”  Full Article

– Insurance Journal

How to Efficiently Manage Variable Lines Brokers

“At its fundamental level, compliance is about making sure the people you have selling products are authorized to sell them, and are doing it right away AND the right way. Some compliance efforts are likely already built into your daily activities, like recruiting brokers. But in your efforts to only spend time and money on the right people, are you actually spending unnecessary dollars without truly reducing your compliance risk?”  Full Article

– Insurance Journal

Employer Considerations Concerning the HIPAA Special Enrollment Rule Temporary Extension

“CMS announced a temporary special enrollment period on HealthCare.gov, through which individuals who lose Medicaid or CHIP coverage and come to HealthCare.gov anytime between March 31, 2023 and July 31, 2024 will be able to enroll.”  Full Article

– Kilpatrick Townsend & Stockton LLP

Employer’s Lack of COBRA Diligence Was Not Intentional Infliction of Emotional Distress

“Courts have repeatedly held that damages for COBRA violations are generally limited to unreimbursed medical expenses less applicable premiums and deductibles. Neither COBRA nor ERISA provides for extra-contractual or consequential damages such as recovery for emotional distress.”  Full Article

– Thomson Reuters / EBIA

Health Care Organizations Support Government’s Effort on Preventive Services

“A diverse set of advocates, academics, organizations, and participants in the health care system filed amicus briefs in support of the government and urged the Fifth Circuit to reverse the lower court’s decision. Brief overviews of the amicus briefs are provided in this article.”  Full Article

– Health Affairs Forefront

Proposed Mental Health Parity Regulations Arrive: Key Changes for Plan Sponsors

“As proposed, a plan will need to assess the expected dollar amount of all plan payments for medical/surgical benefits in the classification to determine whether the NQTL applies to ‘substantially all’ medical/surgical benefits, and then identify the most common or frequent variation of the NQTL for purposes of determining whether it is ‘predominant.’”  Full Article

– Proskauer Rose LLP

Third Circuit Affirms Judgement on ERISA Retaliation Claim

“The court found that the evidence supported the district court’s finding that the Company’s firing of Plaintiff was motivated by Plaintiff’s past and anticipated future use of ERISA health benefits. The Company’s healthcare invoices had Plaintiff’s hip replacement surgery costs highlighted, and though anonymized, it was not difficult for someone in the Company to identify Plaintiff and his expenses.”  Full Article

– Roberts Disability Law P.C.

IRS Issues Guidance on Expenses Related to COVID-19 and Preventive Care

“For plan years ending after December 31, 2024, a high-deductible health plan will no longer be permitted to provide coverage for COVID-19 testing and treatment under the HDHP before the minimum HDHP deductible is met without jeopardizing a participant’s HSA eligibility. Notice 2023-37 clarified that the preventive care safe harbor does not include screening (i.e., testing) for COVID-19, effective as of June 23, 2023. This clarification will not be relevant for HDHPs/HSAs until the first plan year ending after December 31, 2024.”  Full Article

– Miller Johnson Snell & Cummisky P.L.C