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National Restaurant Association - Senate bill aims to eliminate key part of health care law

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Senate bill aims to eliminate key part of health care law

Sen. Johnny Isakson (R-Ga.) has introduced legislation that would accomplish one of the National Restaurant Association’s top health care advocacy priorities: elimination of the auto-enroll requirement.

Employers with more than 200 full-time employees are required to automatically enroll all full-time employees in their lowest-cost coverage option within 90 days unless the employee specifically opts out of coverage. The “Auto-Enroll Repeal Act,” would eliminate the mandate, which the NRA opposes because it duplicates another of the law’s requirements for large employers to provide coverage, creates additional administrative burdens for restaurants, and could force employees to pay for coverage they neither need nor want if they inadvertently fail to opt out of the employer’s plan.

“We thank Senator Isakson for addressing this challenging part of the health care law which could negatively impact both restaurant owners and their employees,” said Scott DeFife, NRA executive vice president of policy and government affairs. “The auto enrollment requirement could cause greater confusion for employees about their decision on coverage and create additional administrative burden for employers, without increasing employees’ access to coverage.”

The NRA sent a letter to Isakson in support of the legislation.

Along with eliminating the auto-enroll requirement, the NRA’s health care advocacy has focused on changing the law’s definition of “full-time” from 30 hours to a length more in line with common business practices, addressing the complexity of the employer reporting requirements, and  simplifying the formula the law uses to determine which companies are “large” employers.

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