Bill Overview
Title: Commonsense Reporting Act of 2022
Description: This bill addresses the eligibility verification process for the premium assistance tax credit and cost-sharing subsidy under the Patient Protection and Affordable Care Act (PPACA). It requires the Department of the Treasury to develop and implement a reporting system that allows employers to voluntarily report information about their health plans for the current plan year prior to the beginning of open enrollment. The bill also allows electronic transmission of employee and enrollee statements and permits Treasury to accept full names and dates of birth in lieu of dependents' and spouses' Social Security account numbers. The bill also allows certain large employers who do not offer their employees minimum health care coverage 90 days to appeal an assessment for not providing such coverage. The Government Accountability Office must evaluate (1) for the period beginning on January 1, 2015, and ending on December 31, 2020, the notification of employers by PPACA exchanges of the eligibility of employees for advance payments of the premium assistance tax credit or cost-sharing subsidies; and (2) for calendar year 2023, the functionality of the prospective reporting system established by this bill, including the accuracy of information collected.
Sponsors: Sen. Warner, Mark R. [D-VA]
Target Audience
Population: Individuals under employer-sponsored health insurance plans
Estimated Size: 155000000
- The bill involves reporting of health plan information by employers to verify eligibility for premium assistance and cost-sharing under the PPACA.
- It affects employees who are potential recipients of premium assistance tax credits and cost-sharing subsidies.
- Large employers that offer health insurance and those who don't offer minimum coverage are also affected due to reporting requirements and potential assessments.
- The Treasury and Government Accountability Office are involved in implementing and evaluating the reporting procedure.
Reasoning
- The policy is targeted mainly at large employers and their reporting processes, indirectly influencing the employees who are recipients of healthcare benefits under those employers.
- There are over 155 million Americans on employer-sponsored health plans, but the actual number directly impacted by reporting changes is smaller, concentrated mainly among those eligible for subsidies and those working for large employers not meeting minimum coverage standards.
- The direct impact on individuals will vary significantly based on whether they qualify for subsidies and how their employer handles coverage and reporting.
- Most of the immediate changes are procedural and administrative from the employer's side rather than direct changes in health coverage or costs for employees.
Simulated Interviews
Software Developer (Austin, TX)
Age: 45 | Gender: female
Wellbeing Before Policy: 8
Duration of Impact: 2.0 years
Commonness: 10/20
Statement of Opinion:
- I'm mostly happy with the health coverage from my employer.
- I think the policy will make it easier for people to get the subsidies they need.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 8 | 8 |
| Year 3 | 8 | 8 |
| Year 5 | 8 | 8 |
| Year 10 | 8 | 8 |
| Year 20 | 8 | 8 |
Retail Manager (Denver, CO)
Age: 38 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 3.0 years
Commonness: 6/20
Statement of Opinion:
- I might be able to get better clarification on what subsidies I'm eligible for.
- It's been confusing dealing with so many forms and regulations.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 6 | 5 |
| Year 5 | 6 | 5 |
| Year 10 | 6 | 5 |
| Year 20 | 6 | 5 |
Freelancer (Seattle, WA)
Age: 29 | Gender: other
Wellbeing Before Policy: 5
Duration of Impact: 0.0 years
Commonness: 4/20
Statement of Opinion:
- As someone who deals with the ACA, it seems like a good step, although indirectly relevant to me.
- I still hope that the new policy reduces confusion and miscommunication.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 5 | 5 |
| Year 2 | 5 | 5 |
| Year 3 | 5 | 5 |
| Year 5 | 5 | 5 |
| Year 10 | 5 | 5 |
| Year 20 | 5 | 5 |
Logistics Manager (Chicago, IL)
Age: 54 | Gender: male
Wellbeing Before Policy: 7
Duration of Impact: 1.0 years
Commonness: 15/20
Statement of Opinion:
- I've had stable health insurance benefits; I'm not sure how this new policy impacts me directly.
- If it helps others get their needed support more efficiently, I'm all for it.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 7 |
| Year 5 | 7 | 7 |
| Year 10 | 7 | 7 |
| Year 20 | 7 | 7 |
Elementary School Teacher (Atlanta, GA)
Age: 47 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 0.0 years
Commonness: 12/20
Statement of Opinion:
- The changes might affect our district's reporting process, but I doubt it'll change my coverage.
- Policies often come with mixed blessings; I hope this is simple enough for the school's administration.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 6 | 6 |
| Year 3 | 6 | 6 |
| Year 5 | 6 | 6 |
| Year 10 | 6 | 6 |
| Year 20 | 6 | 6 |
Retired, formerly worked in Manufacturing (Miami, FL)
Age: 62 | Gender: male
Wellbeing Before Policy: 8
Duration of Impact: 0.0 years
Commonness: 8/20
Statement of Opinion:
- As a retiree, the direct impact is minimal, but I'm hopeful it benefits workers still in their careers.
- Helping employers streamline the process could prevent coverage gaps for many.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 8 | 8 |
| Year 3 | 8 | 8 |
| Year 5 | 8 | 8 |
| Year 10 | 8 | 8 |
| Year 20 | 8 | 8 |
HR Specialist (New York, NY)
Age: 32 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 2.0 years
Commonness: 7/20
Statement of Opinion:
- This policy will add to my responsibilities, but it should improve the process in the long run.
- If managed well, it will enhance transparency for employees regarding their eligibility and options.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 8 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 7 | 6 |
| Year 10 | 7 | 6 |
| Year 20 | 7 | 6 |
Small Business Owner (Boston, MA)
Age: 44 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 1.0 years
Commonness: 9/20
Statement of Opinion:
- Managing health benefits is already complicated, anything that simplifies this is welcome.
- This policy seems more aimed at larger businesses, though.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 6 | 5 |
| Year 3 | 6 | 5 |
| Year 5 | 5 | 5 |
| Year 10 | 5 | 5 |
| Year 20 | 5 | 5 |
Digital Marketing Specialist (Los Angeles, CA)
Age: 26 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 0.5 years
Commonness: 5/20
Statement of Opinion:
- I rely on personal insurance options as we still don't have company-provided healthcare.
- It doesn't impact me yet, but I hope it improves things soon.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 7 |
| Year 5 | 7 | 7 |
| Year 10 | 7 | 7 |
| Year 20 | 7 | 7 |
Civil Engineer (Raleigh, NC)
Age: 40 | Gender: male
Wellbeing Before Policy: 8
Duration of Impact: 0.0 years
Commonness: 14/20
Statement of Opinion:
- Our company has excellent insurance benefits, so I don't foresee any major changes here.
- This policy might benefit those in less organized setups.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 8 | 8 |
| Year 3 | 8 | 8 |
| Year 5 | 8 | 8 |
| Year 10 | 8 | 8 |
| Year 20 | 8 | 8 |
Cost Estimates
Year 1: $12000000 (Low: $10000000, High: $15000000)
Year 2: $8000000 (Low: $7000000, High: $12000000)
Year 3: $7500000 (Low: $6000000, High: $10000000)
Year 5: $7000000 (Low: $5000000, High: $9000000)
Year 10: $5000000 (Low: $3000000, High: $7000000)
Year 100: $500000 (Low: $250000, High: $750000)
Key Considerations
- The bill primarily affects administrative processes, leading to modest costs in system implementation and management.
- Potential minor efficiency gains for employers could offset some administrative burdens caused by additional reporting requirements.
- The overall financial impact on the federal budget remains minimal, with cost efficiencies in processing and reporting over time.