1. DID YOU KNOW
On Feb. 25, 2013, the Department of
Health and Human Services (HHS)
released its Minimum Value (MV)
Benefits and HR tips brought to you by Calculator. The MV Calculator permits an
The Centennial Group employer to enter information about its
health plan’s benefits, coverage of
services and cost-sharing terms to
determine whether the plan provides
minimum value.
According to HHS, the calculator is
available for “informal external testing,”
and users are encouraged to notify HHS
of technical or operational issues. If
necessary, the calculator will be revised
based on feedback.
Proposed Individual Mandate Rules State Plans for Health
Insurance Exchanges
On Jan. 30, 2013, the Internal Revenue  Belong to one of the nine categories Feb. 15 marked the deadline for states to
Service issued two proposed rules of individuals who are exempt from declare their intent to create a
relating to the individual coverage the penalty partnership exchange with HHS. The
mandate. The basics of these rules are following is the most recent list of state
provided in the following paragraphs. To be eligible for the premium tax credit intentions regarding Exchanges.
for purchasing health insurance through
The penalty for not obtaining minimum an Exchange, a taxpayer: States with declared state-based
essential health coverage will: exchanges: WA, OR, ID, NV, CA, UT,
 Must have household income for the CO, NM, MN, KY, NY, VT, MA, RI, CT,
 Be phased in over a three-year year between 100 and 400 percent MD, DC and HI
period, starting at $95 per person, or of the federal poverty line
up to 1 percent of income for 2014  May not be claimed as a tax States planning for partnership
 Be capped at the national average of dependent of another taxpayer exchanges: IA, IL, AR, MI, WV, DE and
the annual bronze plan premium  Must file a joint return, if married NH
 Be half as much for children, up to a  Must enroll in one or more qualified
family cap of three times the annual States defaulting to the federal
health plans through an Exchange
flat dollar amount per year exchange: MT, ND, WY, SD, NE, KS,
 Cannot be eligible for minimum AZ, AK, TX, OK, MO, LA, MS, AL, TN,
 Be assessed against an individual essential coverage GA, FL, SC, NC, VA, IN, WI, OH, PA, ME
for any month in which he or she
The Supreme Court addressed legal and NJ
does not maintain acceptable
coverage, beginning in 2014, unless challenges to the individual mandate last While Mississippi presented its plan for a
an exemption applies June and upheld it as constitutional, state-based exchange, the plan was
 Possibly be subtracted from an meaning that the individual mandate will rejected, moving Mississippi to the list of
individual’s tax refund go into effect in 2014 as planned. states defaulting to the federal exchange.
Exemptions may exist for individuals
who:
 Cannot obtain affordable coverage
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