April 2021 - ARC Benefit Solutions

All About the American Rescue Plan Act in 2021

Everything You Need to Know About the American Rescue Plan Act

April 14, 2021/in Affordable Care Act, ARC Updates, Legislation/by ARC Benefit Solutions

There is a lot of information and misinformation circulating the internet about the American Rescue Plan Act of 2021 (ARPA) and it’s easy to get confused by frequent updates. As a result, we’ve taken some time to put together a guide that will help you understand ARPA and what it means for your health insurance plan.

ARPA was signed on March 11, 2021, with the intention of making Marketplace coverage more affordable, subsidizing COBRA premiums, expanding Medicaid and the Children’s Health Insurance Program (CHIP), extending increased unemployment compensation, and providing stimulus payments.

Bu how does ARPA specifically affect your Marketplace coverage? Luckily, many of these changes are positive.

Eligibility Requirements

ARPA has updated many of the eligibility benchmarks for Marketplace coverage and subsidies to make health insurance more affordable and accessible for those uninsured during the COVID-19 pandemic. These changes are effective starting April 1, 2021.

Firstly, under ARPA, tax credits are no longer limited to those with incomes under 400 percent of the Federal Poverty Level (FPL). Anyone will now be able to get a tax credit paying no more than 8.5 percent of their yearly income based on the benchmark plan, which is the second least expensive Silver level plan, in your area. This new tax credit will be available for tax years 2021 and 2022.

Many consumers who fall in the 100 to 150 percent of FPL are eligible for the Benchmark Silver level plan at a zero-dollar premium monthly. An estimated more than 50 percent of people currently receiving tax credits will now be able to get a Silver level plan for under $10.

To receive these eligibility benefits, be sure to update your application on the Marketplace after April 1 so that it reflects the new tax credit. The tax credit will be reflected starting May 1 if the application is updated and enrollment in a new plan is done by April 30. The Marketplace will not be providing retroactive tax credits prior to the May 1 effective date. However, the new tax credit will be effective back to January 1, 2021, and consumers will receive the tax credit when they file their federal income tax returns.

It’s important to consider that some carriers may opt to reset plan deductibles. So, if you have spent a good chunk of money towards your deductible, you may want to consider getting your tax credit at the end of the year when you file your taxes to save you some money. Contact your ARC representative to find out what option is best for your specific situation.

2021 Special Enrollment Period (End August 15, 2021)

The Open Enrollment period has been extended through August 15, 2021, so there is plenty of time to get your plan updated. Those without Marketplace coverage can take advantage of the new tax credits by moving to a Marketplace plan during this period. Individuals with employee benefits will still fall under the same guidelines and will most likely not be eligible.

Tax Credit Exemptions

If you had a tax credit for the plan year 2020 and happened to go over your projected income, you will not be responsible for paying back the difference. This is a one-year exemption for 2020 only. If you have already filed your taxes, you do not file an amended return until the IRS releases updated guidance for this situation. More information can be found at IRS.gov/newsroom/irs-statement-american-rescue-plan-act-of-2021.

Unemployment Benefits

If you are receiving unemployment benefits, the Federal Pandemic Unemployment Compensation (FPUC) of $300 per week has been extended. This income will need to be reported to the Marketplace, but it is not considered when determining eligibility for Medicaid and CHIP. This will be effective through September 6, 2021.

COBRA Subsidies

Lastly, individuals eligible for COBRA because of a reduction in hours at work (theirs or a family member’s) or an involuntary termination will be eligible for a full premium subsidy that covers the entire cost of COBRA. This subsidy is available from April 1 through September 30, 2021, only. Unfortunately, nothing is retroactive and it is only available to those eligible for COBRA based on an involuntary loss of coverage. If your COBRA eligibility ends during this time period it will not be extended and individuals who are eligible for new group health coverage through a new employer or a spouse’s plan are not eligible for the COBRA subsidy and must report the eligibility to the former employer. If you don’t report the eligibility, you may face a tax penalty.

These legislative changes can be confusing and anything can change at any time. Your ARC representative is here to translate these changes for you. Contact us today to learn more about ARPA and how it will affect your individual plan.

ARC Client Spotlight: Home Builders Association of Dayton

April 5, 2021/in ARC Updates, Client Spotlight, Employee Benefits/by ARC Benefit Solutions

ARC Benefit Solutions is proud to announce its new partnership with the Home Builders Association of Dayton (HBA) to provide members with health insurance options for their business!

Benefits Consultant Andy Krull recently sat down with Eric Farrell from HBA Dayton to talk about what they do, how they help their members, and why they chose ARC Benefit Solutions to provide health insurance benefits.

How do you help your members?

The Home Builders Association of Dayton was established in 1942 and is a non-profit, trade association for the home building industry. The primary function of the Home Builders Association of Dayton is to serve as the homebuilding industry watchdog.

Our mission is to be the residential construction experts throughout the Dayton region for industry partners, civic partners, and consumers.

We encourage members to maintain high ethical and professional standards and bring an active voice to government affairs and the regulatory process by promoting proper, forward looking, and reasonable codes and regulations. Member collaborate with professionals in all fields related to the home building industry. We engage in political, societal, economic, and environmental issues and are an advocate for people’s economic prosperity and quality of life.

We believe and affirm that…

How do you get involved in Home ownership can and should be within the reach of every working family.
Homes should be built under the free American enterprise system.
Homes should be well-designed, efficient, well-constructed, and well-located in attractive communities, with education, recreational, community, religious or spiritual, and shopping facilities accessible to all.

We are dedicated to our community. In 2019, when the Memorial Day Tornadoes swept through the Dayton region, the HBA was called upon as a voice to local municipality leaders with resources to aid in the disaster relief, advocated on behalf of the industry with FEMA to be partners at-large, and provided “boots on the ground” relief efforts with clean up and debris removal. And in March 2020, when the initial “Stay at Home” order was issued from the State of Ohio, the HBA of Dayton immediately took action on behalf of our members to proactively advocate that residential construction and the associated trades remained a part of the “Essential Infrastructure” to ensure our members (and industry) could continue to prove the economic impact housing has on the region.

What are the services you offer?

When people throughout the Dayton region want to buy, build, finance, remodel, or maintain a home, they look to the Home Builders Association of Dayton because they trust our members and know that they are professional and the best at what they do.

Our members insist that the organizations and companies they do business with are members of the HBA. When they need a new supplier or subcontractor, HBA members consult our website or membership directory to find suppliers with equally high standards and professionalism.

We offer a number of exhibitions and events to promote new homes, designs, and technology, including HBA Homearama, a Parade of Homes, and more. When you join Home Builders Association of Dayton, you automatically become a member of all three levels of the NAHB federation: local, state, and national. That’s three memberships in one!

Why did you decide to partner with ARC Benefit Solutions?

In the midst of the COVID-19 pandemic, our members’ health and wellness came to the forefront of the HBA and we knew we had to serve our members in a new way. ARC Benefit Solutions became a solution for our membership when we needed them the most.

ARC has a history of working with construction firms, both large and small business, so they understand the needs of our members in an intimate way. Being a family-owned business with a focus on simplifying the lives of our members, the partnership and relationship we formed aligned with some of the core tenants of our membership.

Tell us about your experience with ARC Benefit Solutions.

To date, ARC Benefit Solutions and the team, lead by Andy Krull, have been a proactive partner and have already shown a vested passion for what they deliver upon. Always a phone call away for a member question or to just check in, ARC has delivered, in spades, what they promised.

Thank you to HBA Dayton for deciding to partner with us! To learn more, visit their website or follow them on social media.

Every Day is Earth Day to a Farmer! Is the Ohio Farm Bureau Right for You?

April 5, 2021/in ARC Updates, Employee Benefits/by ARC Benefit Solutions

“Every day is Earth Day to a farmer,” according to the Ohio Farm Bureau. What better way for insurance people to celebrate EARTH DAY 2021 than to talk about the Ohio Farm Bureau Health Benefit Plan?

The Ohio Farm Bureau Health Benefit Plan is another MEWA option available to Ohio agriculture and related businesses. This plan is only made available to qualified types of businesses. Exceptions can be made to non-agriculture related firms if they serve agri-business customers, such as an electrical contractor who specializes in wiring dairy barn milking machines.

Qualified businesses range from farm to table and include: traditional farms (livestock or produce), restaurants, florists, grocers, veterinary clinics, pet food stores, fisheries, landscapers, well water drillers, marinas, canneries, tanneries, bakeries, distilleries, wineries, sawmills, logging and wood products, textile mills, organic chemical manufacturers, hardware stores, and farm machinery, just to name a few.

When an employer is hitched to the Ohio Farm Bureau Health Plan, each employee becomes a member of the OFB and gains access to hundreds of discount programs on all kinds of equipment, clothing, tools, and services. A phone app delivers daily deals to OFB members from all kinds of stores and merchants.

Those same employers gain access to similar discount programs as well as a competitive yet conservative medical risk pool of similar employers. They have had single digit overall trends since inception due to their philosophy of building a product to last long-term.

Your ARC Advisor evaluates options for you at each renewal including the Ohio Farm Bureau MEWA.

Want to learn more about MEWAs? See our blog post here. https://www.arcbenefitsolutions.com/employee-benefits/the-buzzword-of-the-day-is-mewa/

If you want to learn more about the Ohio Farm Bureau, click here. https://ofbf.org/