Denver Staffing Agency - The Affordable Care Act Waiting Period Defined - Part 3

  • Posted by: J. Kent Gervasini |
  • 10/17/12 |
  • 3:40 PM
Denver Staffing Agency - The Affordable Care Act Waiting Period Defined - Part 3

Having just returned from the American Staffing Association’s Staffing World Convention in Las Vegas (October 9 - 11, 2012), J. Kent Staffing Managers would like to update you on important information regarding the Patient Protection and Affordable Care Act, which will directly affect Denver employers  to include Denver staffing agencies. 

Guidance notice 2012-59 – Clarifies Waiting / Administrative Period
Guidance notice 2012-59, released in August 2012, clarifies group health insurance waiting or administrative period under section 2708 of Patient Protection and Affordable Care Act (Affordable Care Act).

Specifically, guidance notice 2012-59 outlined an approach under which employers would be permitted, under certain circumstances, to use an eligibility condition requiring an employee to complete a specified number of cumulative hours of service in order to be eligible for the coverage under the plan. The guidance will remain in effect at least through the end of 2014, but can be modified after that time.


  • Administrative Period:  An administrative period is the period of time that must pass before coverage for an employee or dependent who is otherwise eligible to enroll under the terms of the plan can become effective.
  • Affordable Care Act – Administrative Period:  The Affordable Care Act section 2708 provides that, for plan years beginning on or after January 1, 2014, a group health plan or health insurance issuer offering group health insurance coverage shall not apply any waiting or administrative period that exceeds 90 days. Note: A plan or issuer will not be considered to have violated the Affordable Care Act merely because employees take additional time to elect coverage.
ASA Staffing World - Administrative Period


Would You Like More Information About
Obamacare - The Affordable Care Act?

Supreme Court Upholds Obamacare—
Next Steps for Staffing Firms - Part 1

“Look-Back” Defined August 31, 2012 - Part 2

ACA 12-Month "Look-Back" Period Begins Jan. 1, 2013 - Part 4


The information in the article above is intended for general education purposes only and should not be relied upon as a substitute for professional, legal, and/or accounting advice.

Sources:  ASA's Staffing World Convention - "Current Developments in Health Care Reform",


  • Share/Bookmark
0 Responses to "Denver Staffing Agency - The Affordable Care Act Waiting Period Defined - Part 3"

Share Your Thoughts

* Required