Employers who offer group health insurance coverage inevitably encounter a percentage of employees who decline coverage.
Some employers choose to offer these employees a form of compensating reimbursement representing the value (or a portion of the value) of the “lost” benefit.
Employers of any size who offer reimbursement in the form of “opt out” or “cash in lieu” arrangements should be aware of several ramifications of such an offering to avoid exposure to compliance penalties.
Learn more in the PDF.
