As employers head into open enrollment season for health insurance there are numerous legal notices that must be provided to eligible employees. One of those annual notices was recently revised and a new model notice was provided by the Department of Labor’s Employee Benefit Security Administration.

The model Medicaid/CHIP notice was revised at the beginning of 2019 to include more information regarding premium assistance to Medicaid eligible employees who may also be eligible for their employer plan. This notice is available at https://www.dol.gov/agencies/ebsa/laws-and-regulations/rules-and-regulations/public-comments/2010-2409.

The revised CHIP notice must be given out annually to all eligible employees who live in a covered state. It can be included in open enrollment materials or as part of the health plan’s summary plan description. Most employers provide it as part of their new hire and open enrollment packets.

Employers may make changes to the notice, but any modifications must still clearly explain an employee’s right to premium assistance under Medicaid and provide contact information for their state’s CHIP program.

As mentioned above, employees who live in a covered state must receive the notice. The notice is provided without regard to the employer or health plan’s location and an employer is not exempt from providing the notice because it is located in a non-covered state. The applicable states are listed below:

Alabama Minnesota Pennsylvania
Alaska Missouri Rhode Island
Arkansas Montana South Carolina
Colorado Nebraska South Dakota
Florida Nevada Texas
Georgia New Hampshire Utah
Indiana New Jersey Vermont
Iowa New York Virginia
Kansas North Carolina Washington
Kentucky North Dakota West Virginia
Louisiana Oklahoma Wisconsin
Maine Oregon Wyoming
Massachusetts

Failure to provide this notice can result in an employer penalty of up to $117 per day, per employee.