Employer Health Care Contribution Fund
Businesses across Vermont are playing their part to help make sure all Vermonters have the health coverage they need. Employers that don’t offer health coverage or have uninsured employees, may have to pay a health care contribution, or “assessment” based on the number of uninsured workers.
Here’s how it works:
Employers not offering coverage and/or paying a portion of the coverage:
- If an employer doesn’t offer a plan and/or pay a portion of a plan that pays part of the cost of heath insurance for its employees, they must pay the health care assessment on all employees.
Employers offering coverage:
If an employer does offer health coverage, they must pay the assessment on:
Employees who are ineligible to participate in the employer’s plan.
If they offer insurance to all full-time employees, they do not have to pay the assessment on seasonal or part-time employees provided such employees meet a certain criteria (refer to Vermont Department of Labor Web site for further details).
- Employees who refuse the employer’s coverage and do not have coverage from another source.
The amount the employer must pay is based on the number of full-time equivalents (based on a 40-hour work week) who are in the above categories. As of January 1, 2012, the assessment is $119.12 every three months for each full-time equivalent (FTE). The first four FTEs are exempted. If you have questions about assessment rates and exempted FTEs prior to January 1, please call the Department of Labor at the number below.
Please note that an employer's payment into the assessment fund does not automatically enroll their employees into Green Mountain Care programs. Employees must apply and meet the eligibility criteria to enroll.
Visit the Vermont Department of Labor or call 1-802-828-4344 for more information and updates on the Employer Health Care Contribution Fund.