Reform Alert - News from the Blues' Office of National Health Reform

Free-choice vouchers repealed

May 3, 2011

The free-choice voucher provision in the Affordable Care Act has been repealed. 

The repeal, effective April 15, represents a significant change in the requirements for employers who offer minimum essential coverage to their employees. Employers would have been required to offer vouchers beginning in 2014 to certain employees whose cost of coverage exceeded 8 percent but did not exceed 9.8 percent of household income. The voucher could have been used to purchase coverage on a state health insurance exchange. 

The free-choice voucher repeal does not eliminate the penalty some employers may face if they do not offer an "affordable" employer-sponsored group health plan to full-time employees beginning in 2014. 

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The information on this website is based on BCBSM's review of the national health care reform legislation and is not intended to impart legal advice. Interpretations of the reform legislation vary, and efforts will be made to present and update accurate information. This overview is intended as an educational tool only and does not replace a more rigorous review of the law's applicability to individual circumstances and attendant legal counsel and should not be relied upon as legal or compliance advice. Analysis is ongoing and additional guidance is also anticipated from the Department of Health and Human Services. Additionally, some reform regulations may differ for particular members enrolled in certain programs such as the Federal Employee Program, and those members are encouraged to consult with their benefit administrators for specific details.