HHS Proposes Allowing Brokers to Further Aid 2018 SHOP Enrollment

SHOPs Can Begin Relying on the Proposed Rule

The U.S. Department of Health and Human Services (HHS) has issued a proposed rule to provide states with greater flexibility in the operation and establishment of the Small Business Health Options Program (SHOP) Exchange. Among other items, the rule proposes allowing employers to directly enroll in SHOP coverage through a SHOP-registered agent or broker. If finalized, this enrollment approach would generally be available in federally-facilitated SHOPs (FF-SHOPs), including state-based Exchanges using the federal platform for SHOP, for plan years beginning on or after January 1, 2018. State-based Exchanges operating their own SHOPs could also adopt the new approach.

While HHS considers comments on its proposed rule, the agency is permitting FF-SHOPs (including state-based SHOPs using the federal platform), SHOP-registered brokers, and employers to begin operating in accordance with the proposed rule, starting on the first date on which employers can complete a group enrollment for a plan year that would take effect in 2018 (e.g., for plans with effective dates on or after January 1, 2018). State-based Exchanges operating their own SHOPs have this same flexibility.

Click here for more information on the HHS proposal.