The U.S Department of Labor recently finalized its rule to expand the definition of “employer” to include “working owners,” allowing real estate professionals and other self-employed individuals to participate in association health plans. The ruling also makes AHPs available to independent contractors who are offered coverage through a spouse, the current source of coverage for roughly 40 percent of Realtors®.
National Association of Realtors® President Elizabeth Mendenhall, issued the following statement:
“After years of advocating for independent contractors’ right to pursue coverage through association health plans, NAR welcomes today’s Department of Labor ruling.
“America’s self-employed, including real estate professionals, may now have the opportunity to purchase health insurance through a group health plan, taking advantage of economies of scale that may improve access to care while also receiving critical flexibility to choose between their spouse’s plan and an AHP.”
NAR CEO Bob Goldberg also commended DOL’s decision and offered this statement:
“NAR applauds the DOL for the latest rulemaking and hopes that legal and other challenges do not extensively delay the rule’s implementation and future enrollment periods. NAR has already begun work with health insurance experts and providers on potential next steps to help secure high-quality health insurance for all of our members and their families.”
Bottom Line
The ruling is a major step forward for NAR’s long-standing advocacy efforts to expand AHP eligibility to independent contractors. This ruling allows NAR to keep up its ongoing program to evaluate potential options for expanding REALTORS® options for access to health insurance coverage. It does not mean that a REALTOR® AHP will be available in the near term, but action continues to explore such options.
What is next?
The road from the DOL ruling to the availability of an AHP is long and not without potential detours. Legal and other challenges could delay implementation of the rule. NAR has been advocating for an AHP solution for decades as a means to expand access to health insurance options for REALTORS® and this final rule makes AHPs one-step closer to achieving that goal. The result of our advocacy efforts, the strategic recommendations of our Member Benefits Team and consultations with health insurance experts have positioned NAR to analyze a potential AHP option in a comprehensive process to help secure best quality health insurance at the most affordable price for all of our members and their families. NAR wants to caution our members that the development of an AHP will be a long process and may not meet the health insurance coverage needs of all members.
Where can I find more information?
NAR’s Health Care Reform topic page contains a number of resources on NAR advocacy efforts concerning health insurance availability, including policy statements, Congressional testimony and comment letters to regulatory agencies. Explore the issue in depth.
