I'm mainly a P&C agent and have a client (approx 100 employees) and they are looking to avoid the ACA penalties. I have sold a few groups, but its certainly not my specialty. They have hooked up with someone offering them a Self-Funded MEC, MVP with a hospitalization plan. Do the most recent IRS rulings only affect those that aren't offering the hospitalization? I have some colleagues that are advising me that I should tell this client to run away. Thought I'd seek out some advice on here. Have you run into these plans, or sell these plans? I assume they are substantially less expensive than a traditional major medical?
MVP Plans with Hospitalization?
- Thread starter TwoLabs
- Start date
Don't believe you need to run away, it might be an opportunity for you.
The MEC plans are still viable and can be used to avoid the $2000 penalty. The MVP plans do require hospitalization and not just some slimmed down "light" hospital benefit.
It might be worth you looking at the group to determine if the $3k penalty is an issue or not with them. If it is not that big of an issue, the group might be able to get away with the MEC only.
The MEC plans are still viable and can be used to avoid the $2000 penalty. The MVP plans do require hospitalization and not just some slimmed down "light" hospital benefit.
It might be worth you looking at the group to determine if the $3k penalty is an issue or not with them. If it is not that big of an issue, the group might be able to get away with the MEC only.
ERISAgaga
New Member
Twolabs,
HHS/IRS ruling last November really changed some issues.
Those grandfathered MVP plans without hospital/surgery coverage expire 12-31 this year. Plus that carrier/TPA built a good block of clients and is requiring much higher participation on their MEC plans this year to offer a fully compliant program.
Plus they are not even expecting their Minimum Value plan to sell much at all.
I work with a couple of TPAs that have MEC/Min Val programs that are much less on participation rules and with Min Val plan that employees might actually like or want.
Let me know if you are interested.
HHS/IRS ruling last November really changed some issues.
Those grandfathered MVP plans without hospital/surgery coverage expire 12-31 this year. Plus that carrier/TPA built a good block of clients and is requiring much higher participation on their MEC plans this year to offer a fully compliant program.
Plus they are not even expecting their Minimum Value plan to sell much at all.
I work with a couple of TPAs that have MEC/Min Val programs that are much less on participation rules and with Min Val plan that employees might actually like or want.
Let me know if you are interested.
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