State Mandates

• Insurance carriers, employers, and other “applicable entities” that provide minimum essential coverage to California residents must send coverage information to the California Franchise Tax Board (FTB) each year.
• The annual reporting deadline is March 31.
• While the FTB has said they will develop reporting forms, the required information is the same Section 6055 information sent to the IRS under the ACA.
• The full text of the law is available at the California Legislative Information website.

The District of Columbia requires residents to maintain health insurance. Residents who don’t maintain coverage may have to pay a penalty.

• Employers or other sponsors of employment-based health plans, including governmental agencies, that covered at least fifty (50) full-time employees, including at least one employee who was a District resident, during the applicable calendar year.
• Persons, including governmental agencies, who provided minimal essential coverage to a District resident during the applicable calendar year.
• An insurance issuer or carrier licensed to or otherwise authorized to offer minimum essential coverage in the District during the applicable calendar year.
• The reporting deadline is 30 days after the IRS deadline for submitting 1095-B or 1095-C forms, including any extensions granted by the IRS.
• The full text of the law is available at the Council of the District of Columbia website.

The state of Massachusetts passed the nation’s first healthcare reform law in 2006 (the ACA was enacted in 2010). Residents who can afford coverage must maintain coverage throughout the year. If they don’t, they may have to pay a penalty.

• Under the law, employers (or their vendors) that provide minimum creditable coverage (MCC) must distribute Form MA 1099-HC to covered residents by January 31 each year. This same information must be reported to the state Department of Revenue.
• Insurers subject to the law must determine MCC status and typically handle the filing requirements.
• Employers who self-insure or contract with more than one vendor for a single plan may need to complete an attestation form
• The full text of the law is available at the Massachusetts Legislature website.

The Health Insurance Market Preservation Act requires all New Jersey residents to have health insurance. Those who don’t have minimum essential coverage may have to pay a penalty.

• The State requires third-party proof that people have the required coverage.
• All employers and other providers of MEC must send coverage information to the State each tax year.
• The information required by the State is the same information the IRS requires for ACA filings.
• Employers and other providers must send this information to the State electronically. Filing paper forms is not an option.
• The annual filing deadline is March 31.
• The law applies to employers in New Jersey AND employers from other states who remit gross income tax for New Jersey residents.
• The full text of the law is available at the New Jersey legislature website. Information is also available at the New Jersey Treasury website.

The Market Stability and Reinsurance Act reinstates the individual coverage mandate for Rhode Island residents. If residents don’t maintain coverage, they may have to pay a penalty.

• Every “applicable entity” that provides minimum essential coverage to an individual during a calendar year must file a return with the Rhode Island Division of Taxation.
• Entities can use the same information filed with the IRS under the ACA to meet the state requirement.
• The annual filing deadline is January 31.