IBX Discontinuing Coverage for Weight Loss Drugs
Independence Blue Cross has announced that starting January 1, 2025, it will no longer cover GLP-1 and non-GLP-1 drugs for weight loss as a general benefit on the majority of their plans. However, coverage may still be available under certain circumstances, such as for patients with diabetes. This decision reflects rising drug costs and the evolving landscape of weight management treatments. IBX will continue to offer alternative weight management options, including counseling and lifestyle programs. Other insurers, like Aetna and Cigna, have also implemented similar restrictions or exclusions for weight loss drugs, indicating a growing industry trend.
Creditable Coverage for Medicare-Eligible Employees
Employers offering prescription drug plans to Medicare-eligible individuals must determine if their coverage is creditable. This means the plan’s actuarial value meets or exceeds standard Part D coverage. Creditable coverage provides members with important information and may qualify employers for the Retiree Drug Subsidy. Employers can use specific resources to determine their plan’s creditable status and must report this information to CMS.
Rising Healthcare Costs: 5 Strategies for Philly Employers
Small businesses in Philadelphia face increasing challenges due to rising healthcare costs. This article outlines five strategies to provide competitive benefits while managing expenses. These strategies include offering multiple plan choices, utilizing health savings accounts (HSAs), exploring health reimbursement arrangements (HRAs), considering captive insurance programs, and investing in employee education. By implementing these approaches, businesses can better address the evolving healthcare landscape and offer valuable benefits to their employees.
IRS Announces Increased HSA/HDHP Limits for 2025
The IRS has announced adjusted limits for health savings accounts (HSAs) and qualified high deductible health plans (HDHPs) for 2025. HDHP requirements only apply to plan years that renew in 2025. Employers should be aware of these changes and track employee eligibility to ensure compliance with HSA contribution limits.
2025 Minimum Deductible Increase for 51+ HDHPs
The IRS has announced adjusted limits for health savings accounts (HSAs) and qualified high deductible health plans (HDHPs) for 2025. These changes affect maximum contributions, minimum deductibles, and out-of-pocket expenses. The new limits vary based on individual or family coverage and become effective on January 1, 2025.
COMPLIANCE CORNER: Medicare Part D Creditable Coverage Changes
The Inflation Reduction Act of 2022 has introduced changes to Medicare Part D prescription drug benefits that may affect group health plans’ creditable coverage status. While CMS has allowed the continued use of the simplified determination tool for 2025, plans may need to reassess their coverage to maintain creditable status. This could involve updating benefits or considering the potential for late enrollment penalties. Employers should review these changes and determine the appropriate course of action for their group health plans.
Rob is an employee benefits expert with over 25 years of experience. He is the founder and principal of Precision Benefits Group, a leading provider of corporate benefits plans. He is a member of the Philadelphia Business Journal Leadership Trust and regularly contributes to the publication.