Some good news right before the holidays: The DOL just delayed a healthcare reform provision that required all employers to provide a summary of their benefits and coverage to employees.
Previously, the DOL had issued proposed regs on the Summary of Benefits and Coverage (SBC) that included an effective date of March 23, 2012.
However, in its latest FAQ, the agency decided to delay the effective date of the SBC rule “until a date to be determined in the final rule.”
Under the SBC reform provision, health plans are required to provide enrolled employees with a summary of their benefits and coverage, as well as a glossary of commonly used terms — such as deductible and co-pay.
In addition, if a plan change takes place during the year, that health plan must provide notice to all enrolled employees at least 60 days before those changes kick in.
The SBCs can’t be longer than four double-sided pages (8 pages total) in a 12-point font. The feds have provided a template to help health plans create their SBC, which can be found here.