CHA News

IRS Issues Proposed Rule, Biden Signs Executive Order to Improve Health Coverage

For CEOs, CFOs, finance & reimbursement staff

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The Department of Treasury and the Internal Revenue Service have issued a proposed rule to address the “family glitch” that inaccurately assesses the affordability of employer-sponsored coverage, impacting eligibility for marketplace subsidies under the Affordable Care Act. 

The proposed rule would determine the affordability of employer-sponsored coverage based on the employee’s share of the cost of covering the employee and family members, rather than the cost of covering the employee only. Comments on the proposed rule are due June 6.  

In addition, President Biden signed an executive order directing federal agencies to identify ways to continue to expand the availability of affordable health coverage, improve the quality of coverage, strengthen benefits, and help more Americans enroll in quality health coverage.