Survey Says: Some Large Employers Will Consider Dropping Group Health Coverage

By TOM MURPHY, AP Business Writer

INDIANAPOLIS (AP) — Nearly one of every 10 midsized or big employers expects to stop offering health coverage to workers once federal insurance exchanges start in 2014, according to a new survey from a large benefits consultant.

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Farewell to the ARRA COBRA Subsidy!

The federal COBRA subsidy, first available Feb. 17, 2009, covered 65 percent of the cost of COBRA health insurance premiums for up to 15 months. To qualify for the subsidy, recipients must have originally become eligible for COBRA as a result of an involuntary termination of employment occurring between September 2008 and May 2010.

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May owners of an LLC (usually called "LLC members") participate in the LLC's medical or cafeteria plan and receive employer HSA contributions?

A limited liability company’s (LLC’s) health plans may create special issues with respect to LLC member participation. This is because LLCs may be treated as either a partnership or a corporation (depending on how the LLC has elected to be treated), and for tax purposes the IRC treats partnerships and corporations differently. No IRS guidance specifically addresses the status of LLC members for purposes of health plan participation, including participation in a medical or cafeteria plan.

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