Insurance commissioner releases association health plan rules
BPC Staff Sep 7, 2018 | 7:55 pm
1 min read time
229 wordsAll Latest News, Health and Wellness, InsuranceThe Iowa Insurance Division has released rules governing multiple employer health plans, association health plans and short-term limited duration plans that were authorized by state and federal legislation within the past year. The new rules, effective Sept. 12, relate to Senate File 2349 enacted earlier this year by the Legislature, which authorizes associations or related businesses to form Multiple Employer Welfare Arrangements. The rules also provide guidelines for Iowa related to a U.S. Department of Labor rule enacted in June aimed at making it easier for associations to be considered a single multiemployer plan under the Employee Retirement Income Security Act. “Some folks at the national level have wrongly tried to paint all of these options as ‘junk’ plans. That is not the case in Iowa,” Iowa Insurance Commissioner Doug Ommen said in a release. “While these types of plans are not right for every Iowan, those who are uninsured or have been priced out of the [Affordable Care Act] market may now have the possibility of finding a health insurance policy to fit their individual needs and budget.” Ommen noted that the vast majority of Iowans who obtain group coverage through their employer or Medicare and Medicaid will not be affected by the administrative rule changes. Links to the rules can be found here. To read a Business Record story about association health plans, click here.