Each week, you’ll find specially curated news articles to keep you up to date on the ever-evolving world of insurance and risk management. The articles are divided out between items relevant to Property & Casualty, Employee Benefits/Human Resources, and Compliance. We’ve included brief summaries of each item as well as a link to the original articles.
PROPERTY & CASUALTY
What is business travel insurance and why is it important?
“Most companies rely on business travels to expand their global presence, which often entails going to distant and isolated locations. But the pandemic has forever reshaped the way people travel, forcing them to consider additional factors, including airline requirements, coronavirus regulations in transit and destination countries, and arrangements for their safe return.” Full Article
– Business Insurance America
EMPLOYEE BENEFITS, HUMAN RESOURCES, & COMPLIANCE
IRS Revises October 2022 Additional Election Change Guidance to Remove Non-Calendar-Year Plan Requirement “Under the revised guidance, cafeteria plans — regardless of plan year — can be amended to allow prospective midyear election changes from family coverage to employee-only coverage (or family coverage including one or more already-covered related individuals) under a group health plan that is not a health FSA and provides minimum essential coverage if certain conditions are satisfied.” Full Article – Thomson Reuters/ EBIA
Has Your Company Decided to Self-Fund its Medical Plan? Don’t Forget Privacy, Security and Reporting Requirements “In addition to drafting a new plan document and summary plan description, negotiating contracts with a claims administrator and other vendors, and purchasing stop-loss coverage to insure against the risk of catastrophic claims, employers must address privacy and security obligations under [HIPAA] and reporting requirements under the ACA.” Full Article – Dickinson Wright
2023 Premium Tax Credit Quick Reference Chart “[1] Locate line where estimated 2023 household income & household size intersect. [2] First column shows household percentage of Federal Poverty Line. [3] Second column shows percent of household income required as contribution towards purchase of second lowest cost Silver coverage in Marketplace. [4] ‘CSR AV’ column shows resulting Actuarial Value after Cost Sharing Reductions applied. [5] ‘Monthly contribution’ = contribution percent x household income, divided by 12.” Full Article – Kaufman & Canoles , P.C.
Final Rules Issues on Private Plans Under Colorado’s Paid Family and Medical Leave Insurance Act “FAMLI creates a state-administered insurance program that will pay employees for qualifying types of leave starting January 1, 2024, much like unemployment insurance. Employers and their employees are exempt from paying premiums if the employer provides a private plan for paid family and medical leave approved by the Division. The final rules provide employers a blueprint on how to obtain approval for such plans, whether the plan is self-insured by the employer or obtained through an insurer approved by the state.” Full Article – Husch Blackwell
December 27th is Deadline for Mandatory Rx Data Collection Reporting “The employer remains liable for noncompliance, even if it has an enforceable agreement with its vendor to ensure compliance, unless the plan is fully-insured and the agreement is with the insurer. There is no way for an employer to confirm on the HIOS module that a vendor uploaded the file(s) it agreed to upload. The employer should obtain written assurance from the plan’s vendor(s) and rely on contractual provisions for recourse if a vendor fails to fulfill its RxDC reporting service as agreed.” Full Article – Jackson Lewis P.C.
Federal District Court Certifies Transgender Discrimination Class Action Against Third-Party Administrator Under the ACA “The US District Court for the Western District of Washington certified a class of individuals who were denied gender-affirming care by a third-party administrator, Blue Cross Blue Shield of Illinois (BCBSIL). The class members have been, are, or will be [1] participants in an ERISA self-funded health plan, which is both administered by BCBSIL and contains a categorical exclusion for gender-affirming care and [2] denied preauthorization or coverage for excluded gender-affirming care because of BCBSIL’s administration of the exclusion.” Full Article – ArentFox Schiff LLP
STATE & INTERNATIONAL COMPLIANCE
In addition to the RISQ Review, RISQ Consulting also provides a resource that features changes and updates to State and International Compliance measures. We’ve included brief summaries of each item below, and also provided links to the original articles if you’d like to read further.
CALIFORNIA
California Court of Appeal Reverses Summary Judgment in Time-Rounding Case Involving Electronic Timekeeping System
“In Camp v. Home Depot, a Sixth Appellate District panel recently found against an employer that—although its electronic system recorded employee work-time to the minute—rounded daily totals to the nearest quarter-hour for determining wages.” Full Article
– Davis Wright Tremaine LLP
OHIO
Rolling the dice with independent contractors – employee misclassification can prove to be a risky and expensive game of roulette when an injury occurs!
“Let’s face it –employees are expensive. Labor costs are one of the biggest costs of doing business and go beyond just wages. They also include benefits, payroll, and associated taxes.” Full Article
– Graydon, Head & Ritchey LLP
MISSOURI
Missouri’s new marijuana law: What employers need to know
“The uncertified results for the November 8, 2022 election indicates Missouri voters have passed Amendment 3, legalizing marijuana for personal use (effective December 8, 2022). Assuming the unofficial results will be certified, what does this mean for Missouri employers?” Full Article
– Thompson Coburn LLP
DISTRICT OF COLOMBIA
D.C. Voters Approve Eliminating the Tip Credit System
“On Nov. 8, 2022, Washington, D.C., voters overwhelmingly approved “initiative 82,” which, once certified and implemented, will eliminate the tip-credit system in D.C. With this new law, D.C. joins the ranks of seven states with no tip credit: Alaska, California, Minnesota, Montana, Nevada, Oregon and Washington state.” Full Article
– McGuire Woods LLP
COLORADO
Colorado’s Required Notice for Separating Employees—New Form Released
“In May 2022, Colorado passed a new law requiring employers to provide a notice to all separating employees alerting them that unemployment compensation benefits may be available.” Full Article
– Brownstein Hyatt Farber Schreck LLP
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