Secretary of Health and Human Services (HHS) Kathleen Sebelius speaks during a news conference to explain how the Obama administration is combating Medicare fraud and to release tips and information for Medicare beneficiaries to avoid medical identity theft at HHS headquarters in Washington on October 15, 2009. UPI/Roger L. Wollenberg Photo via Newscom

After the administration recently granted waivers to some large employers struggling to comply with parts of the new health care law, ASAE this week reiterated its request that transitional relief be granted to small and medium-sized employers as well.

ASAE’s comments are in response to the administration’s grandfather rules allowing companies to make modest adjustments to benefits and cost-sharing, but which prohibit significant changes and/or changes in insurance plans. Companies that make changes to their plans risk losing their grandfathered status, which ASAE contends would cause major financial stress for many nonprofit organizations already struggling to provide employees with affordable, quality insurance.

To help, ASAE asked that the administration consider an exemption for small to medium employers until 2014 as long as they do not reduce the per-employee amount they pay for insurance, as well as permit these employers to change insurance carriers as long as they keep the per-employee amount the same. “Most of our members simply do not have the negotiating power within the current limited market to remain grandfathered,” ASAE stated in its Oct. 26 letter.

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