Healthcare Legislation
Understanding the immediate impact on Business 2010

The Legislation
H.R. 3590 Patient Protection and Affordable Care Act (Senate Bill)
H.R. 4872 Health Care and Education Affordability Reconciliation Act of 2010 (Reconciliation Bill)

This recently passed Healthcare and health insurance reform legislation, which includes mandates on individuals and employers as well as tax law changes, changes to Medicare, and government subsidies, will take effect over a number of years. While some provisions are effective in 2010, others changes are scheduled to roll out through 2014.

To help you better understand and prepare for the immediate changes resulting from this legislation, the following is a brief summary regarding the changes slated to go into effect in 2010.

Effective Changes for 2010
These changes will take effect in 2010 for groups that have a start or renewal date beginning on or after September 1, 2010.

• Young adults up to age 26 can stay on their parent’s insurance policies
• Health plans cannot deny coverage of pre-existing condition for children up to age 19
• Lifetime limits and restrictive annual limits are prohibited on group health plans
• New group and individual health plans must provide first-dollar coverage for preventive services
• Seniors will receive a $250 rebate to help fill the Medicare Part D "doughnut hole".
• Tax credits available for small employers with fewer than 25 employees and averages annual wages of less than $50,000. Credits of up to 35% of premium costs for "qualified coverage", with contribution requirements.

Important Note
Many changes outlined in the legislation require additional clarification, definition, and guidelines yet to be released by government agencies, primarily the Department of Health and Human Services (HHS). In addition, with the effective dates stretching over a multi-year period, it is safe to assume that there may be changes before they become effective.

Additional information and updates
Please refer back to this website and the Chamber newsletter for ongoing updates on this legislation.

Contact
If you have any questions, please contact Brenda L. Van Nest of Benefit Specialists of NY at (315) 724-3151 or bvannest@benefitspecialistsny.com.

Additional Resources
Kaiser Foundation www.kff.org
U.S. Chamber www.uschamber.com
National Association of Health Underwriters www.nahu.com