Applicable large employers with health plans are required to collect specific information about coverage offered to full-time employees.

Employers with self-insured health plans will also be required to report specific information about every individual actually covered under their self-insured major medical plans. An applicable large employer is generally an employer that had 50 or more full-time and full-time equivalent employees during the prior calendar year. Self-employed individuals such as leased employees (IRC 414(n)(2)), sole proprietors, partners, and 2% S-corporation shareholders as well as individuals described under IRC Section 3508 (real estate agents and direct sellers) are excluded from the definition of employee. Information must be collected for all health coverage offered that is minimum essential coverage (i.e., the coverage is not an excepted benefit) even if the coverage does not provide minimum value or is not affordable. Covered individuals for whom the employer must report may include full-time employees, employees that are not full-time (such as part-time or seasonal), an employee’s spouse (including a same-sex spouse), a domestic partner, dependent children, former employees, and COBRA Qualified Beneficiaries. Even though self-employed individuals are not counted as employees, those individuals along with their family members must be included in reporting if they are covered under the plan.

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