• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer
New City Logo

New City Insurance

Employee Benefits & HR Consulting Firm

  • Insurance
    • Group Health Insurance
      • Dental Insurance
      • Life Insurance
      • Vision Insurance
    • Self Funding
      • Level Funding
    • Commercial Insurance
      • Pay-As-You-Go Workers Comp
  • Benefits
    • 401k & Retirement
    • Benchmarking
    • Executive Benefits
    • Group Health Insurance
    • PEOs
    • Wellness Plans
  • HR, Compliance & Technology
    • Benefits Administration Technology
    • Employee Benefits Compliance
    • Growth Strategy
    • HR & Payroll Integration
    • HR Support
  • Industries
    • Aerospace Industry
    • Biotech Industry
    • Cannabis Industry
    • Engineering Industry
    • IT Industry
    • Manufacturing Industry
    • Oil & Gas Industry
  • Request Consultation
  • About
  • Blog
  • Contact
  • Client Portal
  • 888.210.2759
  • Request Consultation

The Employee Benefits Compliance Checklist

August 6, 2020 by New City Insurance

Employee benefit packages can often be the deciding factor in whether a prospective employee accepts a job with your company or goes with a competing offer. As such, employers know that offering a top-tier benefits package is vitally important to attracting top-tier talent. However, effectively selecting and managing benefits packages can be a complicated and daunting process due to the large body of federal compliance requirements that regulate them. While these regulations are essential for ensuring the fair and standardized treatment of employees nationwide, they can also be dense and intimidating if you have no prior experience navigating them. The Department of Labor is responsible for overseeing these regulations and ensuring that companies are adhering to them and properly documenting compliance.

Employee Benefits Compliance Checklist

business owners reviewing an employee benefits compliance checklistAffordable Care Act (ACA) and Department of Labor (DOL) compliance is integral to a well-run business and employee benefits department. If you fail to meet government-mandated requirements, which vary depending on company size and change as you grow, you could be at risk of significant penalties.

Ensuring you adhere to ACA and DOL guidelines allows you to rest easy, knowing regulatory agencies and unnecessary fines are being kept at bay. By taking the right precautions, you are saving yourself from fines that can amount to hundreds of thousands of dollars, protecting your business from a hit it may not be ready to take.

Here is a basic checklist you can use to ensure employee benefits compliance:

The Affordable Care Act

The ACA sets health care coverage requirements for employers based upon the size and structure of the company. Companies with 50 or more full time equivalent employees are required to provide benefits to 95% or more of their full-time employees. Companies with fewer than 50 full time equivalent employees still have to observe ACA compliance regulations, but do not have the same filing or reporting requirements.

Consolidated Omnibus Budget Reconciliation Act

The Consolidated Omnibus Budget Reconciliation Act (COBRA) is a federal law that provides employees leaving employment with the ability to continue their health insurance coverage temporarily. Employers with 20 or more employees are required to participate in COBRA. Laws for businesses with fewer than 20 employees vary from state to state, but some states do require that these businesses participate in COBRA.

Department of Labor and Centers for Medicare & Medicaid Services

Department of Labor benefits compliance being discussed within an organizationThere are numerous Department of Labor regulations that employers must maintain compliance with, including wages, safety, anti-discrimination, and a multitude of benefits. You can find a full summary of these statutes on the Department of Labor’s website.

Employers are also responsible for maintaining compliance with all federal regulations related to Medicare plans and reporting compliance to the Centers for Medicare & Medicaid Services (CMS).

Employment Retirement Income Security Act

The Employment Retirement Income Security Act (ERISA) is a federal law that was passed in order to protect employees and their dependents, and requires employers to maintain compliance by distributing required notices and disclosures, and maintaining payroll records. ERISA is closely tied to both COBRA and the Health Insurance Portability and Accountability Act (HIPAA).

Health Insurance Portability and Accountability Act

HIPAA is a federal law that was passed to govern how protected health information (PHI) is handled. PHI is essentially any personally identifiable information contained within medical records. This is important for protecting patient privacy, as well as guarding against identity theft. HIPAA privacy rules are crafted to protect this sensitive information from unauthorized disclosure, while still ensuring proper information sharing abilities for optimal patient care. HIPAA violations are a major concern, as they often result in hefty fines or even prosecution.

Internal Revenue Service

There are multiple IRS requirements affecting employers who offer pre-tax benefits packages to their employees. These pre-tax benefits are subject to regulations from Section 125 of the Internal Revenue Code. In order to provide your employees with healthcare plans that make use of pre-tax salary deductions, you must have a Section 125 plan document.

Speak To An Experienced Employee Benefits Firm

a benefits consultant speaking with a business owner about employee benefits complianceNew City Insurance knows ACA and DOL compliance inside and out. We make employee benefits compliance easy for our clients, growing right along with you as new compliance requirements come in with each new stage of your business development.

Deliver industry-leading health benefits your employees expect and deserve, without breaking the bank. Providing quality, affordable health benefits to your employees within a company budget is a unique challenge and a fine balancing act. A benefits package that falls short of employee expectations can lead to recruitment and retention issues, holding your company back from success. At New City Insurance, we recognize that no one solution fits all. That is why our expert advisors are dedicated to finding customized health benefit solutions for your business. We will help you deliver packages you can be confident in – and that your employees will appreciate.

Benefits

Primary Sidebar

Have A Question?

Ask a question or request a consultation, and we will respond to you in a timely manner.
  • This field is for validation purposes and should be left unchanged.

Footer

New City Logo
Corporate Headquarters 350 10th St, Ste 1000 San Diego, CA 92101
888.210.2759
info@newcityinsurance.com

Insurance Products

  • Commercial Insurance
  • Pay-As-You-Go Workers Comp
  • Group Health Insurance
  • Workers Comp
  • Self Funding

Benefits Consulting

  • 401k & Retirement
  • Benchmarking
  • Executive Benefits
  • Group Health Insurance
  • PEOs
  • Wellness Plans

HR & Technology

  • Benefits Technology
  • Benefits Compliance
  • Growth Strategy
  • HR & Payroll Integration
  • HR Support

Industries

  • Aerospace Industry
  • Biotech Industry
  • Cannabis Industry
  • Engineering Industry
  • IT Industry
  • Manufacturing Industry
  • Oil & Gas Industry
Google Rating
4.9
New City Insurance
New City Insurance
4.9
Mary Jane Deyette
Mary Jane Deyette
00:57 11 May 20
Jeff Stoltey is so awesome...even thru my company had only two employees, he took the time each year to research and find the best plan for us. The only reason I am leaving New City Insurance is because we no longer have any employees. Thank you Jeff
Tricia DeYoung
Tricia DeYoung
19:49 13 Feb 20
I was very thankful I inquired about this info. with Brendan. He was very helpful so I understand the benefits available much better now. Thank you Brendan.
Alma Ortiz
Alma Ortiz
22:25 23 Feb 20
Brendan was awesome! I couldn't figure out how to pick my plan and he returned my call on a weekend to help me. Outstansing service!
B Bayer
B Bayer
17:43 24 Sep 19
NCI handled almost everything from start to finish. Clayton and Brendan made the plans easy to understand and walked me through the application process. They got me my ID numbers before my cards arrived so that I could keep an appointment I had already scheduled. My last broker wouldn't have done that. 5 stars!
jessica kavanagh
jessica kavanagh
19:53 13 Feb 20
Brendan was so helpful I definitely recommend him if you’re in need of good help and getting it done promptly. Thankyou so much again.
Jessica Lehr
Jessica Lehr
03:36 07 Jun 19
Our staff was interested in a health plan, but we didn't know how beneficial a solid employee benefits package would be for our business to expand. We'd lose prospective employees because they had more options for their medical insurance which was sometimes more valuable than more pay. The New City team was amazing and gave us as many affordable options as possible so that everyone had their needs met.
T W
T W
22:32 30 Aug 20
I love New City Insurance. I never had a good experience dealing with insurance brokers until I started working with Brendan. He’s awesome! He is patient with me and takes the time to answer all my questions. I’m very grateful for all his help and hard work!
See All Reviews Write a review
powered by Google
© 2021 New City Insurance · Powered by 321 Web Marketing · Website Privacy Policy & Terms of Use