by Susan K. Lessack and Kali T. Wellington, Esqs.
Approximately 70% of employers sponsor wellness programs designed to drive down health care costs, reduceand promote better employee health. About two-thirds of those wellness programs provide incentives—including discounts on insurance premiums—to employees who participate or who achieve healthy goals, such as losing weight and quitting smoking.
Wellness programs that offer premium discounts have long been required to comply with the Health Insurance Portability and Accountability Act (HIPAA), which otherwise prohibits discrimination based on an employee’s medical condition in determining premium costs. HIPAA caps those discounts at 20%.
More recently, two other laws muddied the wellness waters:
- The new health care reform law—known as the Patient Protection and Affordable Care Act (PPACA)—which was enacted in March 2010
- The Genetic Information Nondiscrimination...(register to read more)
- Fitness-for-duty exams: When can they be used?
- Use hotline records to nail down complaints
- Personnel records: What to store, when to shred ... and 7 laws you must comply with
- How much notice are employees required to give when they need FMLA leave?
- Study insurance policies for legally hazardous exclusions