» Affordable Care Act

What is the Affordable Care Act?

The Patient Protection and Affordable Care Act (PPACA) also known as the Affordable Care Act (ACA) is a federal statute enacted to increase the quality and affordability of health insurance. This comprehensive health care reform law phases in a series of actions to occur over a ten-year period. The ACA is intended to:

Provide all Americans access to health care
Lower the cost of quality health care
Protect health care consumer rights

Under the Affordable Care Act’s employer shared responsibility provisions, certain employers (called applicable large employers or ALEs) must offer minimum essential coverage that is “affordable” and that provides “minimum value” to their full-time employees (and their dependents). The employer shared responsibility provisions are sometimes referred to as “the employer mandate”. Employers with 50 or more full-time equivalent employees (FTE) are required to provide minimum essential medical coverage (MEC) to at least 95% of their full-time employees and dependents up to age 26 in 2016. Full-time employees for ACA purposes are those who work an average of 30 hours or more per week.

What is IRS Form 1095?

The IRS Form 1095 is used to report health insurance to individuals and the IRS. Specifically, it shows whether your employer offered you coverage, which months you had health insurance that met Affordable Care Act (ACA) requirements (also called Minimum Essential Coverage) and, in some cases, the cost of employee-only coverage. It shows what kind of insurance you’re getting, how much it costs and whether you’ve been covered for the entire calendar year prior.

Internal Revenue Service - Form 1095


Affordable Care Act Eligibility

Who is considered ACA-Eligible at Chapman?

The ACA employer mandate covers all Chapman employees who work full time. Full time employees for ACA purposes are those who work, or are expected at hire to work an average of 30 hours or more per week. They include not only Chapman's benefits-eligible employees, but also Chapman part-time, temporary and student employees. Individuals who meet the ACA’s full time standard are referred to at Chapman as “ACA-eligible” employees.


ACA-Eligible Employee Coverage

To comply with the ACA employer mandate, starting January 1, 2016, all full-time, part-time, temporary and student employees identified as ACA-eligible will be offered a choice between the Cigna plans and the Kaiser plan. All Chapman University health plans meet the affordable minimum essential medical coverage (MEC) requirements

Frequently Asked Questions (FAQ)

The Human Resources Benefits staff are available to answer questions regarding 2015 coverage and Form 1095 by phone at (714) 997-6686, or by email at benefits@chapman.edu.