Health Care Reform

Free Choice Vouchers

April 15, 2011, Congress passed and the President signed the "Department of Defense and Full-Year Continuing Appropriations Act, 2011" (H.R. 1473), an appropriations bill financing the federal government through September 30, 2011. The legislation repealed the Health Care Reform "Free Choice Voucher" requirement. As enacted, Health Care Reform required employers offering health coverage to provide Free Choice Vouchers (i.e., employer funds) to certain employees beginning January 1, 2014. An employee would have been entitled to receive a Free Choice Voucher to use to purchase Exchange coverage if the employee: (1) was required to pay between 8% and 9.8% of household income for the employer's health coverage; (2) had household income less than 400% FPL; and (3) opted out of the employer's health coverage. The repeal means that the Free Choice Voucher requirement will not take effect.

American Fidelity Assurance Company does not provide tax or legal advice.

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