90-day limit on wait for employer health coverage

90-day limit on wait for employer health coverage

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$7,730 per capita. 5.7% annual growth (1991-2009). Source: Centers for Medicaid and Medicare Services

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Associated Press

Posted on February 20, 2014 at 2:34 PM

Updated Thursday, Feb 20 at 3:01 PM

WASHINGTON (AP) — Employers can't make new hires wait more than 90 days for coverage in the company's health care plan.

The new limit is in government rules that carry out a section of President Barack Obama's health care Law. The Labor Department issued the rules Thursday. It could make a difference as the economy gets stronger and more jobs open up.

The Kaiser Family Foundation says nearly 80 percent of workers face a waiting period before coverage takes effect. Most don't have to wait as long as 90 days. The average wait is under two months, but 30 percent have to wait three months or more.

For most plans, the 90-day limit will apply starting Jan. 1, 2015.

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