Vision Payroll

September 30, 2013

Model Notices Need Not Be Provided To Former Employees Who Have Elected COBRA Coverage

Model Notices Need Not Be Provided To Former Employees Who Have Elected COBRA Coverage
Under the Patient Protection and Affordable Care Act, also known as the Affordable Care Act Under the Patient Protection and Affordable Care Act, also known as the Affordable Care Act or Obamacare, most employers are required to provide one of two notices to all employees. Guidance was provided to employers by the US Department of Labor (DOL) in Technical Release No. 2013-02, Guidance on the Notice to Employees of Coverage Options under Fair Labor Standards Act §18B and Updated Model Election Notice under the Consolidated Omnibus Budget Reconciliation Act of 1985.

Notice Not Required for Former Employees Who Have Elected COBRA Coverage

Although all employees, regardless of plan enrollment status or availability, must receive a notice, the DOL in Technical Release No. 2013-02 clarifies that “[e]mployers are not required to provide a separate notice to dependents or other individuals who are or may become eligible for coverage under the plan but who are not employees.” Therefore, former employees eligible for coverage need not be notified.

Contact Vision Payroll for Further Information

Contact Vision Payroll if you have further questions on the notice to employees of coverage options required under the ACA.

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