Open enrollment is scheduled to begin in the health marketplaces (also called the exchanges) on Oct. 1, and many employers and employees have questions about eligibility for coverage through the marketplace and premium subsidies.  UBA has prepared a FAQ to address some of those questions.

Non-calendar year Section 125 plans may be amended to allow mid-year changes to accommodate the new marketplace and/or the individual mandate (see Questions 19 – 24 of the FAQ).  Several Partner Firms have requested model language for an amendment, which is below.  Of course, this language should be modified as appropriate to follow the plan’s terminology and provisions.

To let employees drop coverage as of Jan. 1, 2014:

Because coverage will be available through the health marketplace beginning Jan. 1, 2014, during 2013 only a plan participant may make a one-time revocation of a prior election for group medical coverage so that he may enroll in marketplace coverage.

See more here…