Important Information for Groups with Employees in Massachusetts
If you have employees in Massachusetts, you may be required to file additional information to comply with the state’s healthcare reporting mandates. The MA Health Care Access and Affordability Act not only requires all Massachusetts residents age 18 and over to obtain health insurance, but it also imposes certain obligations on employers with employees in the state. Specifically, employers that provide self-insured medical coverage or fully-insured medical coverage issued by an out-of-state carrier must provide each employee who resides in Massachusetts (including any who elect COBRA coverage) with a MA Health Care Coverage Form (MA 1099-HC) by January 31 of each year. Additionally, employers must also submit a report electronically to the Massachusetts Department of Revenue (MDOR) listing all 1099-HCs issued.
In prior years, all fully-insured carriers issued the Form 1099-HC to the employee residing in Massachusetts and filed the electronic report with the MDOR. However, it has come to our attention that some carriers are no longer preparing these filings for 2008.
Employer Action
If you have an employee in Massachusetts and want to know if your carrier is issuing the 1099-HC and/or filing the required electronic report with the MDOR, please click here to view a chart of carrier actions and what you may need to do to maintain compliance.
Employers who need to prepare and issue a 1099-HC for Massachusetts employees can find a sample form by clicking here: Form MA 1099-HC. The employee’s subscriber number (item #5) is the identifying number generated by the insurance carrier.
Employers who need to file an electronic report with MDOR listing all 1099-HCs issued must register online through the MDOR’s WebFile for Business. Select the statement “I am registering to report employee Health Care Data.” Once you complete the registration process, you will be issued a user name and password allowing you to log on and file the electronic report with MDOR listing all 1099-HCs issued.
Should you have any additional questions, please contact our office at 919-403-1986.
Important Notice: Hill, Chesson & Woody does not engage in the practice of law, accounting, or medicine. Therefore, the contents of this communication should not be regarded as a substitute for legal, tax, or medical advice.
February 17, 2009
Hill, Chesson & Woody Employee Benefit Services
194 Finley Golf Course Rd, Suite 200,
Chapel Hill, NC 27517
Phone: 919.403.1986
Fax: 919.869.2063
www.hcwbenefits.com