Managing Change in a Volatile Healthcare Climate

The passage of the Affordable Care Act in 2010 has caused a ripple effect across the healthcare landscape, as employers and individuals alike are faced with skyrocketing costs. It has placed mounting pressures on small businesses to insure employees—or pay steep monthly fines. Yet carrier choices are becoming limited as many insurers are exiting the exchange altogether in certain markets.

Meanwhile, employers—especially small businesses—are struggling with rising insurance costs that in some cases are forcing them to downsize their workforce or cut salaries simply to stay in business. The Employee Retirement Income Security Act (ERISA), which was passed in 1974, offers employers a choice: self-funded benefits.

PCG is committed to advocating for employers, offering consultation and guidance as healthcare regulations continue to change regarding IRS and Department of Labor regulations, and more. We’re here to help.

What is ERISA?

Employers have been able to self-fund their benefit plans since 1974, when the ERISA was passed. It exempts self-funded plans from state insurance laws, including reserve requirements, mandated benefits, and premium taxes.