What is dependent coverage transition relief?

Dependent Coverage Transition Relief is one of four types of transition relief available to Applicable Large Employers (ALEs). This relief allows an employer to treat an offer of health coverage to a full-time employee (but not his or her dependents) under a non-calendar year plan as an offer of health coverage to the full-time employee (and his or her dependents) for the calendar months in 2016 that fall within the 2015 plan year.

To qualify for this transition relief, the following two things must be true: (1) the employer must have taken steps during the 2015 plan year to extend coverage under the plan to dependents not offered coverage during the 2013 or 2014 plan years (or both) and (2) the employee must not have been offered dependent health coverage during the 2013 or 2014 plan year.

The Zenefits ACA Compliance app does not support Dependent Coverage Transition Relief.

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