State Individual Mandate Reporting Compliance

In 2019, the Federal penalty for not having individual health insurance went away, but six states have taken advantage of this by enacting State mandated coverage. Some did it to try and prevent increases in uninsured residents, some to try and stabilize their insurance market and some did it solely as an additional revenue stream to their state. 

Even if you are not based in one of the states, if you have at least one employee working in that state, you have to comply with this. The states are: Massachusetts, New Jersey, Washington, D.C., California, Rhode Island and Vermont. And to complicate matters further, each state has state-specific requirements that must be followed to be in compliance. For plan year 2019, Massachusetts, New Jersey and Washington D.C. have requirements that must be followed and for plan year, 2020, California, Rhode Island and Vermont have requirements that must be met. For state-specific requirements, reach out to us as we will be happy to explain what you must do to be in compliance.