Earlier this month, the Department of Labor released new proposed regulations that revise employer requirements for issuing COBRA notices, along with a new model COBRA notice. Although the new rules aren’t yet final and effective, using the new model notice is considered “good faith compliance,” according to DOL.
The new notice offers new information about insurance exchanges under the Affordable Care Act as a COBRA alternative—including a note that coverage under an exchange plan may cost less than COBRA coverage.
“The only advantage of COBRA is that it allows an employee to stay with their previous, employer-provided health plan,” Jonathan Pearlstein, manager of sales and business operations at Benefitter, tells Employee Benefit News. “The main reason a recently laid-off worker might prefer this versus an exchange plan is if they are in the midst of an episode of care [e.g. cancer treatment], and they don't want to potentially change their provider network within that care episode.”
So, is it time to put COBRA out to pasture? Not just yet, according to Pearlstein: “COBRA will likely stick around … its utility will just diminish as workers are redirected to plans on the exchange instead.”
The ERISA Advisory Council has released its report on what makes for effective retirement plan communication. In addition to noting proven best practices in plan design, education and communication, the Council outlines recommendations to the DOL to facilitate cooperation with other agencies that might increase plan automatic features to drive participant enrollment and savings.
The report is based on two days of testimony in hearings conducted last spring. We were thrilled to be invited to participate in the hearings, and offer our unique perspective on how the DOL can best assist employers in making retirement communication more available, accessible and effective. Read Jen’s testimony here.
A report in Employee Benefit News details the disconnect between Americans’ mental health treatment needs and knowledge of a federal law to make coverage for that treatment more accessible and affordable.
Statistics from the American Psychological Association reveal that more than one-quarter of Americans have received mental health treatment, but just 4% of Americans are aware of the Mental Health Parity and Addiction Equity Act, which requires insurance coverage for mental health, behavioral health and substance abuse treatment to be on par with major medical coverage. Although the law was approved in 2008, APA reports public awareness remains unchanged since 2010.
To help raise awareness and reduce stigma associated with mental health treatment, the National Alliance on Mental Illness has launched the #IWillListen campaign. The effort aims to give individuals a safe place to turn if and when they want to discuss emotional struggles. Employers can promote the campaign at their worksites, so employees can feel free to talk openly with coworkers or friends.
This Thursday, don’t miss the second session of our Benefits Communication Master Class. Jen will share tips for the web in Likes, tweets and clicks: The do’s and don’ts of online benefits communication.
Also, slides are online for our first Master Class session, Creating results: Three steps to success with your benefits communication. Download the session slides and watch the webinar recording.