President Signs PACE Act

Yesterday, the President signed the Protecting Affordable Coverage for Employees Act (PACE Act), which amends the Affordable Care Act (ACA) to provide states the flexibility to define a “small employer” for group health insurance purposes as one with 50 or fewer employees on average in the preceding calendar year.  The PACE Act repeals the mandated small-group expansion from groups of up to 50 employees to groups of up to 100 employees that was to go in to effect on January 1, 2016. States may now expand the definition of small employer to include companies with 51 – 100 employees if they wish, although they are no longer required to do so.  The PACE Act is a welcome relief to mid-sized employers in the 51-100 employee range who would have been newly reclassified as “small group” for insurance purposes starting in 2016.

To read more about this please see the below link from NAHU:

NAHU Release October 8 2015

Any questions regarding this? Please contact Patrick Duke, Sr. Vice President, Employee Benefits at

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