The Positive Side of Compliance in Group Health Insurance
When employers stay compliant with HIPAA, ERISA, and ACA regulations, they protect both their business and their employees. Compliance ensures secure, transparent, and fair group health insurance coverage—safeguarding personal health information, clarifying plan rights, and strengthening employee trust.
Beyond protection, health benefits compliance reduces risk and improves plan quality. Meeting ACA requirements prevents costly penalties and ensures your plan remains affordable and comprehensive. A compliant, well-managed plan doesn’t just keep you out of trouble—it positions your organization as a trustworthy employer that values transparency and employee wellbeing.
The Challenges of Staying Compliant
Maintaining group health plan compliance can be complex. Constant regulatory updates—from ACA affordability thresholds to COBRA notices and HIPAA privacy rules—require precision and proactive management. Employers must file Forms 1094-C, 1095-C, and Form 5500, distribute Summary Plan Descriptions (SPDs), and conduct nondiscrimination testing to remain compliant.
Even small mistakes—like missing a COBRA notice deadline or misclassifying an employee—can trigger costly fines. Employers can mitigate these risks by leveraging compliance technology, automating key filings, and partnering with experienced compliance consultants.
The Cost of Non-Compliance
The financial consequences of non-compliance with group health insurance regulations are steep:
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ACA Affordability Penalties: $4,460 per affected employee.
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Form 5500 Non-Filing: $2,739 per day.
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HIPAA Violations: From $141 to $2 million per incident.
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COBRA Notice Errors: $100+ per day.
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SPD Violations: Up to $1,956 per violation.
According to the Department of Labor, over $1.4 billion was recovered from employers in 2023 for benefit plan violations. These numbers underscore the importance of proactive compliance management.
How Leavitt Great West Simplifies Compliance
At Leavitt Great West Insurance Services, we make compliance for group health plans simple and effective. Our dedicated team provides:
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Ongoing regulatory support and plan document reviews
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Compliance technology tools for monitoring deadlines and filings
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Risk analysis to identify coverage or reporting gaps
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Expert guidance on ACA, ERISA, HIPAA, and COBRA requirements
Our producers maintain full licensing and meet all state and federal compliance standards. With Leavitt Great West, you can focus on your business while we ensure your health benefits remain compliant, efficient, and employee-friendly.
Compliance as a Competitive Advantage
Compliance isn’t just a legal necessity—it’s a strategic advantage. Employers who invest in compliance strengthen their brand reputation, improve employee satisfaction, and protect their bottom line.
Partnering with Leavitt Great West means you’re not just meeting requirements—you’re elevating your organization’s health benefits strategy with confidence and care.
Need help managing compliance? Contact Leavitt Great West today for a consultation.
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