The Massachusetts Department of Unemployment Assistance (DUA) has issued emergency regulations and updated its FAQ’s - Updates in Employer Health Care Contributions and Experience Rate Schedule Adjustments for 2018 – 2019 regarding the changes that will result from the temporary two-year employer health contribution law that will take effect on January 1, 2018 and expire at the end of calendar year 2019. Please visit DUA's Updates in Employer Health Care Contributions for 2018-2019 for complete information, including the emergency regulations and FAQs.
An Act Further Regulating Employer Contributions to Health Care enacted in August 2017 increases the existing Employer Medical Assistance Contribution (EMAC) rate from $51 to $77 and assesses up to a $750 per employee for non-disabled employees who secure health insurance through MassHealth or subsidized ConnectorCare coverage. In regard to the new assessment for subsidized coverage:
- The non-disabled employee must be enrolled in Mass Health (excluding the premium assistance program) or subsidized coverage through the Massachusetts ConnectorCare program for a continuous period of at least 56 days (8 weeks) in that quarter; and
- The contribution does not apply to employees who earn less than $500 in wages per quarter.
The EMAC increase will be added to employer’s Unemployment Insurance liability statement. Payments are due quarterly on the last day of the first month succeeding the quarter in which wages were paid and reported. Employers have ten days from receipt of information from DUA to appeal a determination of liability made by the department.
It is expected that DUA will hold a public hearing on the emergency regulations in January 2018. Mass Senior Care will offer testimony requesting that the DUA recognize the unfunded fiscal impact this regulation will have on employers who are disproportionately dependent on Medicaid funding to cover the cost of operation and include in its final regulation language mandating an exemption or a hardship waiver from any new health contribution assessment for employers who are heavily dependent on Medicaid funding.
Please contact Gary Abrahams at Mass Senior Care if you have questions regarding DUA’s Updates in Employer Health Care Contributions for 2018-2019.