ACA 1557 nondiscrimination rule revised, but what is effective now?

ACA 1557 nondiscrimination rule revised, but what is effective now?

Nondiscrimination provisions under Section 1557 of the Affordable Care Act (ACA) continue to garner attention, especially the protections for individuals who are transgender or have limited English proficiency (LEP). A final regulation issued June 19 and effective Aug. 18 significantly changes the 2016 final rule, but certain provisions raise questions in light of the US Supreme Court’s June 15 decision in Bostock v. Clayton Cty., Ga. (140 S. Ct. 1731). In addition, nationwide injunctions temporarily prevent enforcement of certain parts of the 2020 rule. 

While the rule doesn’t apply to most employer group health plans, the nondiscrimination standards and ongoing litigation will shape employee access to healthcare services covered by employer plans. Plan sponsors also should note the regulation’s administrative and notice changes, which could eliminate the need for plan features put in place to comply with the 2016 rule.

Download the 18-page print-friendly PDF for analysis of the 2020 regulation and the provisions currently in effect or on hold. An appendix provides a handy chart comparing key provisions of the 2016 and 2020 regulations.

Kaye Pestaina
by Kaye Pestaina

Principal, Mercer’s Law & Policy Group

Katharine Marshall
by Katharine Marshall

Principal, Mercer’s Law & Policy Group

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