The Affordable Care Act states that all individuals must have health benefits and all employers with 50 or more full-time employees must provide coverage to all eligible employees or they are subject to fines/penalties. This can be known as “pay or play” or employer shared responsibility. We offer Minimum Essential Coverage plans which both penalties are satisfied for the employee and the employer. MEC plans are substantially less expensive than traditional medical insurance and serve as a low-cost solution for most companies.

To contain healthcare costs, many employers and other plan sponsors are considering Minimum Essential Coverage, or MEC, health insurance. MEC plans can keep your workforce healthier. Preventable diseases, gone undetected, can turn into life-threatening illnesses. Heart disease and diabetes alone are responsible for nearly 70% of early deaths for Americans each year. MEC covers some 63 distinct preventive screenings and immunizations, which help detect conditions early. And, immunizations can prevent illnesses. When they go for recommended screenings and immunizations, your workforce remains healthier and more productive. Early detection lowers healthcare costs

Preventable conditions are responsible for 75% of healthcare spending in the United States annually. They cause Americans to miss some $260 billion worth of work every year due to absenteeism and reduced productivity. Clearly, these illnesses put an extreme drain on the economy. Many employees are not getting their recommended health screening as often as they should. MEC covers immunizations against serious diseases. It also covers screenings for diabetes, heart disease, skin cancer, colon cancer, and other serious conditions. People who have the recommended screenings are far less likely to have complications stemming from smoking, a poor diet, or their corresponding illnesses. A healthier workforce means fewer sick days and more time on the job.

MEC satisfies the ACA mandates. In some states, such as New Jersey, individuals pay a penalty on their income tax if they don’t have minimum essential healthcare coverage. MEC plans satisfy the healthcare requirement for individuals, saving them money. Employers with 50 or more employees are required to provide minimum coverage to employees to avoid the larger ACA penalty, in excess of $2,500 per employee. The IRS is enforcing the penalty, so for groups with at least 50 employees, it make good business sense to offer employees a MEC plan.


If you’re an employer and would like to explore these MEC options and pricing give us a call at (215)355-2121.