Human Resources
Obama Administration Modifies Rules on Religious Organizations and Coverage of Contraceptives

Obama Administration Modifies Rules on Religious Organizations and Coverage of Contraceptives


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Under proposed rules published by the Obama administration on February 1, 2013, religious organizations will no longer be required to subsidize or directly provide contraceptive coverage to their employees under a group health plan. However, the proposed rules would require an insurance carrier or third-party administrator (TPA) of a religious employer to facilitate coverage for contraceptive items and services at no cost to participants or the religious organization.

The Aon Hewitt bulletin below provides a description of the proposed rules, including:

  • The broadened definition of an eligible organization;
  • The accommodation made for insured group health plans and student health plans;
  • Accommodations for self-insured group health plans;
  • The notice of availability of contraceptive coverage; and
  • Contraceptive-only excepted benefits.

The proposed rules were issued jointly by the Treasury, Internal Revenue Service, Department of Labor, and Department of Health and Human Services (the agencies).

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