PeopleKeep Logo
| Blog
LOG IN
SIGN UP

Select your product

QSEHRA Login
ICHRA Login
GCHRA Login
Zane Benefits Login
Blog Home Company News Resource Library

Subscribe to our blog

Federal Health Insurance Marketplace Hires Credit Reporting Agency

Written by: PeopleKeep Team
July 24, 2013 at 7:00 AM

Last week, a final rule was released announcing that state health insurance marketplaces may rely on what consumers report as income, if information cannot be obtained from employers or other sources. (See this article for background on the marketplace verification standards.)

credit agency hired for marketplaces

Many speculated that income reporting (which determines the amount of a consumer's health insurance subsidy) would be on an honors system, creating a financial and administrative headache at the end of the year for the administration and for the consumer.

So, we know that in the first year of operations the income reporting is allowed to be a little loose... but what is the administration doing to verify applicants' income for the health insurance subsidies?

Federal Health Insurance Marketplace Hires Credit Reporting Agency

This week, it was announced the administration hired a credit reporting agency to assist in verifying applicants' incomes, when they apply for federal health insurance subsidies and buy health insurance through the federally-run state health insurance marketplaces. The NY Times reported about this on July 9. According to their report:

  • Equifax Workforce Solutions, part of Equifax Inc., will provide information that is more current than on federal income tax returns. 

  • The decision to use a commercial verification company comes in response to Congressional concern about the federal marketplace's ability to verify income in subsidy applications.

  • Senator Orrin G. Hatch of Utah, the senior Republican on the Finance Committee, said it was “little more than an honor system for billions of dollars of premium subsidies.”

  • Equifax has a 12-month contract, and must provide income verification in "real-time."

Source: NY Times.

Topics: Affordable Care Act, Health Insurance Marketplace

Share this article

Additional Resources

Trying to decide which HRA is best for you? Take our quiz to find out.
Get our guide on how to offer health benefits with a small budget.

Comments

Related Reading

Five-minute guide to medical loss ratios (MLRs)

How to use an HRA as a C-corporation owner

What is a QSEHRA?

Company

  • About PeopleKeep
  • Press
  • Media Kit
  • Careers

HRA's

  • HRA Overview
  • QSEHRA
  • ICHRA
  • GCHRA
  • QSEHRA vs ICHRA

Resources

  • Blog
  • Resource Library
  • Case Studies
  • Use Cases

Help & Support

  • QSEHRA Support
  • ICHRA Support
  • Privacy Policy

Top Resources

  • HRA Quiz
  • Eligible Expense Tool
  • Guide to QSEHRA
  • HRA comparison chart
480 E. Winchester St., Suite 230, Salt Lake City, UT 84107
© 2020 PeopleKeep, Inc.
CONTACT SALES

Disclaimer: The information provided on this website is general in nature and does not apply to any specific U.S. state except where noted. Health insurance regulations differ in each state. See a licensed agent for detailed information on your state. PeopleKeep, Inc., does not sell health insurance.