Is your company ACA compliant with its tobacco use incentives or surcharges?
Do you offer financial incentives to employees for not using tobacco?
The ACA allows employers to charge employees who are tobacco users more for health care than non-users... but there are restrictions! The intent is to incentivize healthy behavior, not to punish tobacco users. Employers can be fined or sued if they apply the rule in a punitive way.
How it works:
- You can incentivise healthy behaviors like quitting smoking. However, under ACA, if a smoker can't or does not quit, you must offer them a “Reasonable Alternative Standard."
- This “Reasonable Alternative Standard" is usually to complete an evidence-based cessation program (like 2Morrow's.)
- If the employee quits, great! They receive the incentive or discount.
- Employees who complete the alternative standard are to receive the incentive for that year, even if they have not yet quit.
2Morrow's Cessation Program meets the requirements for the ACA's “Reasonable Alternative Standard" for tobacco. It includes a reporting dashboard where you can validate enrollment and completion.
Click on the REQUEST INFORMATION button to receive information about our program or learn more here.
If you are not charging tobacco users and non-users different amounts for their health plans, it is likely this ACA rule doesn't apply to you.
Each smoker cost your company an average of $6,000 per year in productivity and health care costs. You may still want to support tobacco users efforts to quit, even if you are not charging them more. Some suggestions:
- Go Smoke free - Provide a Smoke Free Campus
- Do a yearly tobacco campaign.
- Offer Free Cessation Programs or Services
2Morrow offers an evidenced-based cessation program that provides private, personalized help with quitting. It includes access to a real coach (via messaging) and the smoking application has been shown effective in multiple clinical trials. You also receive access to a reporting dashboard where you can validate enrollment and see engagement and progress data.
Learn more here or click on the REQUEST INFORMATION button to receive information.