The Affordable Care Act (ACA) Pay or Play Estimator measures and compares the cost of an employer’s current plan with the cost of the exchanges and delivers an estimate for both the employer and the employee. The Employee Impact feature allows employers to see costs to both the organization and its employees.
According to LouAnne Drenckhahn of the David Martin Agency, employers need that information to be able to make a realistic decision to maintain a benefits program or to opt out. This “pay-or-play” feature factors in criteria such as dependent costs, employee age, employee turnover, benefits eligibility and State Medicaid eligibility.
Members of BAN—a national network of employee benefit firms—are able to help their employee benefits clients understand the impact from the ACA and strategically plan for the long-term. The BAN Estimator was developed as a collaborative effort led by LouAnne Drenckhahn of the David Martin Agency and members of BAN’s Compliance Committee and BAN’s compliance directors, Peter Marathas and Stacy Barrow of Proskauer Rose.