Compliance

Philadelphia Employers Will Be Required to Offer Commuter Benefits

Philadelphia Employers Will Be Required to Offer Commuter Benefits

On June 9, 2022, Philadelphia City Counsel passed an ordinance called the “Employee Commuter Transit Benefit Programs” requiring employers with 50 or more covered employees to provide a commuter transit benefit program. Enforcement of this ordinance will go into effect on December 31, 2022.

2021 Benefits Compliance Guide

To prepare for open enrollment, group health plan sponsors should be aware of the legal changes affecting the design and administration of their plans for plan years beginning on or after Jan. 1, 2021. Employers should review their plan documents to confirm that they include these required changes.

In addition, any changes to a health plan’s benefits for the 2021 plan year should be communicated to plan participants through an updated summary plan description (SPD) or a summary of material modifications (SMM).

Health plan sponsors should also confirm that their open enrollment materials contain certain required participant notices, when applicable—for example, the summary of benefits and coverage (SBC). There are also some participant notices that must be provided annually or upon initial enrollment. To minimize costs and streamline administration, employers should consider including these notices in their open enrollment materials.

Download Our Complete 2021 Compliance Guide