Under the Affordable Care Act, if health insurance companies don’t spend at least 80% of premiums paid on medical care, then they must provide those covered with a rebate. According to healthcare.gov 12.8 million Americas will be benefitting from this in one of the following ways:
- They will receive a rebate in the mail
- They will receive a lump-sum reimbursement to the same account that was used to pay the premium
- They will receive a reduction in future premiums
- Their employer will apply the rebate in a way that benefits the employee
To learn more read, The 80/20 Rule: Providing Value and Rebates to Millions of Consumers
If you are a small business owner with any questions regarding the best way to apply the rebate in a way that benefits your employees, please contact Mike Farmer.
Certified Public Accountant