Free Special Resources
Get Your FREE Special Report. Download Any One Of These FREE Special Resources, Instantly!
Featured Special Report
Claim Your Free Copy of Overtime Primer: Highlights from the New Regulations

The federal DOL overtime regulations go into effect this year. Are you ready?

Download Now!

This report includes a summary of key changes, including the salary level test and salary basis test.

As a bonus, we've included a handy flowchart to help you determine exemption status under the FLSA.

Download Now!
June 21, 2007
Massachusetts Health Insurance Mandate Effective Soon

The deadline for all Massachusetts residents age 18 and over to have health insurance is July 1. In addition, all employers with 11 or more full-time employees in Massachusetts must make a "fair and reasonable" contribution toward an employee health plan by that date.

For a Limited Time receive a FREE Compensation Market Analysis Report! Find out how much you should be paying to attract and retain the best applicants and employees, with customized information for your industry, location, and job. Get Your Report Now!

By July 1, employers must also adopt and maintain a Section 125 Plan for employees to pay their health insurance premiums on a pre-tax basis.

If employers fail to make a "fair and reasonable" contribution toward an employee health plan, they must pay a state assessment of up to $295 per employee, per year.  A fee called the "free rider surcharge" will be imposed on employers that do not provide health insurance and whose employees use free care.

The state uses two tests to determine whether contributions to an employee health plan are "fair and reasonable."

  • Primary Test: At least 25 percent of full-time employees are enrolled in the employer's health insurance plan and the employer is making a financial contribution to that plan.
  • Secondary Test: The employer offers to pay at least 33 percent of the premium cost of a health insurance plan that is offered to all full-time employees.  The rule applies for employees who are employed for at least 90 days during the 12-month period.
Featured Special Report:
Top 100 FLSA Overtime Q&As
Twitter  Facebook  Linked In
Follow Us
Copyright © 2016 Business & Legal Resources. All rights reserved. 800-727-5257
This document was published on
Document URL: