Last year, Massachusetts enacted the Massachusetts Health Care Access and Affordability Act (the “Act”) to require that Massachusetts residents age 18-and-over obtain health insurance. The Act also imposes certain requirements on employers with employees in the state.
One of these requirements applies to employers that provide self-insured medical coverage or insured medical coverage issued by a carrier outside of the Commonwealth of Massachusetts. These employers will be required to provide each employee who resides in Massachusetts with a Form MA 1099-HC, Massachusetts Health Care Coverage (“Form 1099-HC) by Jan. 31 of each year, with the first Forms 1099- HC due Jan. 31, 2008. Employers with insured medical coverage issued in Massachusetts, however, will be able to look to their insurance carrier to satisfy this requirement. There is no standardized format for the Form MA 1099-HC, but a sample form is available at www.mass.gov.
Employers that are subject to the requirement must also submit the Form MA 1099-HC information to the Massachusetts Department of Revenue (MDOR) by March 28, 2008. In general, employers will be required to file this information with the MDOR electronically.
We recommend that all employers subject to these requirements of the Act begin to take action to satisfy these requirements.