Federal repeal of small group expansion won't impact California

On October 8, 2015, the federal government repealed the decision to redefine customers with 51 to 100 employees as small groups. That means these customers will continue to be defined as large groups and must purchase health coverage in the large group market. The federal legislation still allows individual states the option to expand the definition of small group from 1 to 100 employees in 2016, which is the definition currently set by the California legislature. Unless further guidance is issued by the state, we are moving forward with the transition of groups with 51 to 100 employees in California to small business at their 2016 renewals. We'll keep you updated should more information become available. If you have questions, please contact your Kaiser Permanente representative.