If you are a small employer (less than 50 employees) and you offer your employees health insurance coverage through a group health insurance plan, your insurance provider may have already mailed you a letter explaining that they will be issuing a Form 1095-B to all of your covered employees. The Form 1095-B will report to those employees (and to the Internal Revenue Service) information needed to show all individuals covered and for which months each person was covered under that employee’s policy. Your insurance company is required to file this form if you are a small employer.
If you are a small employer and offer your employees a group health insurance plan under an employer self-insured plan, you will be required to complete and file Form 1095-B for each of your participating employees. The forms will be filled out the same as though it was completed by an insurance company, however, the employer is responsible for the filing under a self-insured plan.
If you are a large employer (more than 50 full-time equivalents), you already know that you are now required to provide minimum essential coverage to your full-time employees. Most of you have been doing this for years already! Beginning this year, you will need to report information related to those offerings on Form 1095-C for each of your employees. All of your employees, whether covered or not will receive a Form 1095-C in January 2016. In addition to the Form 1095-C you provide, if you are a large employer who offers health insurance coverage through a group health insurance plan, your insurance provider will issue each covered employee a Form 1095-B.
We know that these new requirements may seem confusing and the penalties for not complying with these new rules can be very high. If you need help determining if you are required to file a Form 1095-B or Form 1095-C or if you want help to prepare these forms, we are here for you. Please give us call and we will be happy to help you figure it all out.