• Department of Labor Releases Model Employer CHIP Notice
  • February 25, 2010 | Authors: Tyler S. Andersen; Charles H. Campbell; James R. Griffin
  • Law Firms: Jackson Walker L.L.P. - Austin Office; Jackson Walker L.L.P. - Dallas Office
  • The Department of Labor has promulgated a model Employer CHIP Notice (Model Notice) that satisfies the new employer notice requirement under the Children's Health Insurance Program Reauthorization Act of 2009 (CHIPRA). CHIPRA added new notice and disclosure obligations for employers that maintain group health plans in states that provide Medicaid or state children's health insurance program (CHIP) assistance in the form of premium assistance subsidies. CHIPRA also permits eligible employees and their dependents additional opportunities to enroll in an employer's group health plan.

    The Department of Labor designed the Model Notice as a national notice in order to cover situations where employees may reside in various states. While the Model Notice contains a general description of the premium assistance, it provides only state contact information for state specific premium assistance information.  The Department of Labor intends to update its website annually to reflect any changes to the list of state contact information. 

    Employers must provide an initial Employer CHIP Notice (either the Model Notice or another notice that complies with the applicable requirements) by the later of (1) the first day of the first plan year after February 4, 2010; or (2) May 1, 2010.  For calendar-year plans, the notice must be provided by January 1, 2011.  An Employer CHIP Notice must be provided annually thereafter. The Employer CHIP Notice is not required to be provided in its own separate mailing.  Plans may provide the Notice concurrent with other employee communications as long as the Notice appears separately.