Tuesday, April 16, 2019

Stand Alone Retiree Only Plans

Although the retiree plan exception does not specifically state that it applies to plans that cover retirees only, it has generally been interpreted to apply to "stand-alone" retiree plans because such plans have less than two participants who are "current" employees.. While all participants in retiree-only health plans have to be retirees, a retiree-only plan may cover non-retiree dependents of the retiree and still be considered a retiree-only plan even if the dependents are active employees of the employer in question. dependents are considered beneficiaries, not participants.. The exemption is also important because it allows stand-alone health reimbursement arrangements (hras) for retiree-only plans, which can be used to pay retiree premiums for group or individual.







4 under the aca, a �retiree-only plan� is a plan that does not cover any more than one current employee. page 3 of 10 . umc implications . employer payment plans (epps) and stand-alone hras have been common health plan arrangements in local churches in the united methodist church and other denominations, particularly for coverage of lay. For a true �retiree-only plan� under the tax code and erisa, employers can still sponsor an hra or pra and reimburse individual policy premiums on a pretax basis. a stand-alone hra that. Exempt from these fees are hras that are integrated with a self-insured plan or insured coverage that offers major medical coverage, stand-alone vision and/or dental hra plans*, retiree-only hras**, hras that cover only prescription drugs, health savings accounts and medical flexible spending accounts..

stand alone retiree only plans

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