Rob Report - June

Hi Friends,

School is out and summer is finally here!  I hope you have some exciting plans for the summer whether you’re traveling or staying local.

Compliance Update

▪  SB 553 aka Worklence Prevention applies to CA workplaces with 10 or more employees starting July 1, 2024.  Our IMA West Risk Control Team has created templates and an FAQ.  Contact me if you’d like a copy of the templates.

▪  The Medicare Part D drug benefit Group health plan impact starting in 2025 described here.  The bottom line is that your employer’s plan may change from creditable to non-creditable starting in 2025; however, employers are not required to maintain creditable coverage. This information is meaningful to Medicare Part D eligible employees who could be penalized for waiving Part D if their group health plan is not creditable.

▪  The Children’s Health Insurance Program (CHIP) Notice has an updated model notice as of January 31, 2024. The CHIP notice must be provided annually to eligible employees, and IMA recommends doing this during Open Enrollment.

▪  EEO-1 Reporting due June 4:  EEOC is getting serious about compliance so read more here if you haven’t filed yet.  Private employers with at least 100 employees and federal contractors or first-tier subcontractors with at least 50 employees need to report.

▪  The DOL released an updated version of the Marketplace Exchange Notice to be distributed to new hires.

▪  PCORI fees are due 7/31/24. Employers with any of the plans below must pay the fees directly to the IRS using Form 720. 

-Fully insured medical plans with an HRA alongside – unless the HRA is fully funded within the insurance premium, which is rarely the case

-Self-funded (level funded plans included) medical plans including self-funded MECs

-Self-funded medical plans with HRAs

-Stand-alone medical HRA plans that cover medical expenses

-ICHRAs and MERPs

▪  HIPAA breaches are becoming more common.  Find out what to do if your organization has been notified of a HIPAA breach.  HIPAA Breach Notifications: Group Health Plans - IMA Benefits. 

▪  IMA Compliance conducts a 30-minute, monthly webinar, led by Michelle Cammayo, to discuss relevant events and answer YOUR questions. Feel free to submit questions in advance to hear the answer on air by emailing askmichelle@imacorp.com.  Cammayo’s Compliance Talk: join our June 20th episode by registering here.

 Trending Topics

▪  CFOs are worried about growing health benefits costs:  A new SHRM article says that Nearly two-fifths of CFOs (39%) said their business results will be materially impacted if actual expenses are over budget by even 4% or less.

▪  Speaking of growing health care costs, look at the revenue from the top 25 healthcare companies in this Becker’s Hospital Review article.

▪  What’s new in consumer wellness trends?  McKinsey takes A closer look at the $1.8 trillion global market for consumer wellness products reveals shifting preferences in certain categories—and growing opportunities for companies and brands.

▪  Human Resource Executive provides an article about HR’s next big challenge:  Ageism in the workplace.  HR leaders are challenged to create policies and practices that appeal to five highly distinct generations.

▪  In search of self and something bigger: A spiritual health exploration.  McKinsey Health Institute’s global survey of 41,000 people finds that spiritual health matters to many, regardless of age, country, or religious beliefs.

Network Negotiations

▪  Cigna and Providence Health Southern California have reached an agreement. The termination date has been extended through July 31, 2024, to allow both parties appropriate time to finalize all contract documents.

▪  Blue Shield and Providence St. Joeseph have reached a tentative agreement that will ensure Blue Shield members have continued in-network access to their Providence doctors, clinics, and hospitals.

SoCal Events

▪  June 18, 11:00 am – 12:00 pm:  HR Manager Essentials: Empowering New Managers and Emerging Leaders, & Tuning Up Current

-Paul Falcone

-Virtual, (no cost for members, $25 for non-members)

▪  June 20, 10:00 am – 10:30 am:  Cammayo’s Compliance Talk:  Ask Michelle

-Michelle will answer questions submitted from you and your peers and cover the latest HR and Benefits updates.

-Virtual - (no cost)

▪  June 20, 11:30 am – 1:30 am: LB PIHRA Meeting - The Hard Stuff Behind Soft Skills:  Dissecting 2024's Most In-Demand Competencies

-Long Beach, The Grand - (no cost for members, $40 for non members)

▪  June 23 - 26, 2024 SHRM Annual Conference & Expo

-Hosted by SHRM

-Chicago, McCormick Place

▪  June 25, 9:00 am – 12:00 pm:  Discussing HR Trends, Solutions, and Stress Management

-EXPERT EFFECT

-Rancho Cucamonga, Victoria Gardens Cultural Center (no cost)

AI Bytes

▪  ChatGPT-4o was released on May 13th.  It isn’t just higher in IQ it can talk and see just like us.  The Neuron Daily provides everything you need to know here.

Have a great week!

Rob