The Coronavirus Aid, Relief, and Economic Security Act (CARES Act) contains many provisions to help businesses and non-profits survive the economic impact of Covid-19. This blog post highlights some of the important health and welfare benefit provisions contained in the law.
Covid-19 Screenings and Vaccines- Screenings and Related Costs at No Charge
The CARES Act amended (and expanded) the screening mandate under the Families First Coronavirus Response Act (FFCRA). The FFCRA requires insured and self-funded group health plans to provide coverage for COVID-19 screenings, as well as any items and services furnished during the office visit (including telehealth visit), urgent care center visit, and emergency room visit that results in an order for or administration of a COVID-19 screening. Plans may not impose any cost-sharing (deductibles, copays, coinsurance, etc.) for such screening or associated visit.
However, neither the FFCRA nor the CARES Act mandate that plans cover (with or without cost-sharing) coronavirus-related services following a COVID-19 diagnosis.
Vaccine at No Charge to Participants
The CARES Act also requires plans to cover COVID-19 vaccinations at no cost (once available). The CARES Act creates a special rule for COVID-19 vaccines, requiring coverage within 15 days of the date the recommendation is released.
Free Telehealth with no Impact on HDHPs through 2021
The CARES Act also allows telehealth services to be covered under a High Deductible Health Plan (HDHP) before the deductible is met, thus not impacting coverage for Health Savings Accounts (HSAs). This is temporary relief, however, and only allows for the first dollar coverage of such telehealth services for plan years beginning before 2022.
Student Loan Repayment Benefit through 2020
The CARES Act allows employers to contribute up to $5,250 toward an employee’s qualifying student loans. The employer’s student loan payments may be made directly to the lender or via reimbursement to the employee, and are excludable from the employee’s income up to the $5,250 cap for all employer-provided educational assistance benefits during 2020.
Previously, employers could only provide assistance for ongoing tuition payments but could not provide assistance for previously incurred loans on a tax-preferred basis. This is another temporary provision, only applying to an employer’s student loan payments after the date of enactment of the CARES Act through December 31, 2020.
Artemiste is committed to helping our clients navigate through these ever-changing HR challenges. We will continue to publish updates as they become available and are here to answer any questions during the crisis and beyond.
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Aisling Byrne, SHRM-SCP, CEBS, CMS, CPLP is the CHRO and CTLD at Artemiste where creating great places to work is our passion. Ms. Byrne is a frequent contributor to the Artemiste blog on many topics including onboarding, talent development, performance management, compensation planning, employee engagement, total rewards and learning and development.
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