What is Expatriate Coverage?

Insurance for Prevailing Wage Workers Sent for Work Abroad

In the world of government contracting, there may be instances that you will employ expatriates as part of your prevailing wage workers. Expatriate coverage can be a tricky and confusing matter, and providing them medical insurance may not be as simple. Read on to find out more on expatriate coverage and benefits.

What is an Expatriate?

Before we delve any deeper on expatriate coverage and plans, let us define who is an expatriate. An expatriate has three categories:                                                   

a)     An individual with the skills and qualifications that made the employer transfer or assign an individual to the US for a specific and temporary assignment. The individual must not be a US national.

b)     An individual who works outside of the US for at least 180 consecutive days in a 12 month period. The individual must be a US national.

c)     An individual who is a member of a group formed for services listed in the IRS Code 501C. It can be in the US or in another country.

Only the first two categories apply to employment and group medical insurance.

What is an Expatriate Health Plan?

An “Expatriate Health Plan” is a plan offered to qualified expatriates as described above. The plans must meet the following requirements:

a.     At least 95% of the primary enrollees are qualified expatriates, from day one.

b.     The plan must be issued and administered by an expatriate health insurance issuer and an expatriate health plan administrator respectively.

c.     The plan must cover inpatient hospital services, outpatient health services, doctors’ fees and services, and emergency services.

d.     The plan must satisfy minimum value requirements.

e.     The plan must provide dependent child coverage up to age 26.

Employers often provide medical insurance and coverage to US nationals assigned abroad under foreign medical insurance maintained in the locality where they work, or under special health policies of expatriates. The plan or policy must comply with local rules on medical insurance.

A self-insured health insurance offered by an employer to its employees, qualifies as minimum essential coverage, wherever the plan is located. In the case of group health plans, they can only qualify as MEC if the insurance if offered within the 50 states of the US. The Expatriate Health Coverage Clarification Act of 2014 of the ACA however, stated that any plan that qualifies as an expatriate health plan is considered to provide minimum essential coverage. And it must also meet the requirements stated above.

Are you a prevailing wage contractor with expatriates as your employees? Call ARCHER JORDAN to effectively manage your expatriates’ benefits!

ARCHER JORDAN is a third party administrator, specializing in fringe benefits and plans. We will help you comply with state and federal laws that govern your prevailing wage workers’ benefits.

Leave the matters of benefits administration to us so you can focus more on your prevailing wage contracts and projects. Contact us today!

5-Easy Steps to Fringe Benefit Compliance

In this FREE guide we’ll show you how to create a fringe benefit plan that secures your business

   
           
   

Categories

ACA
AD & D
Affordable Care Act
AHCA
AK Prevailing Wage
AL Prevailing Wage
AR Prevailing Wage
AZ Prevailing Wage
CA Prevailing Wag
CA Prevailing Wage
CA Prevailing Wage 401k
Call Centers
CO Prevailing Wage
COBRA
Compliance Tips
Critical Illness
CT Prevailing Wage
Davis Bacon Act
DE Prevailing Wage
Department of Labor
Disability Insurance
Education
Employee Benefits
Employee Training
Employer Tips
ERISA
Farm Labor Plan
Fixed Indemnity
FL Prevailing Wage
Fringe Benefits
GA Prevailing Wage
Government Contracting
Government Contractors
Health and Welfare Wrap
Healthcare Benefits
HI Prevailing Wage
Hospitality
Hospitality Benefits
Hourly Seasonal Workers
Hourly Workforce
Human Resources
ID Prevailing Wage
IL Prevailing Wage
IN Prevailing Wage
IO Prevailing Wage
IRS
KS Prevailing Wage
KY Prevailing Wage
LA Prevailing Wage
Limited Medical
MA Prevailing Wage
Major Medical Insurance
McNamara-O’Hara Act
MD Prevailing Wage
ME Prevailing Wage
MEC
MEC and MVP
MEC MVP
MI Prevailing Wage
MN Prevailing Wage
MO Prevailing Wage
MS Prevailing Wage
MT Prevailing Wage
MVP
NC Prevailing Wage
ND Prevailing Wage
NE Prevailing Wage
NH Prevailing Wage
NJ Prevailing Wage
NM Prevailing Wage
NSRMCA Members
NV Prevailing Wage
NY prevailing wage
OH Prevailing Wage
OK Prevailing Wage
OR Prevailing Wage
OSHA
PA Prevailing Wage
Part Time Employees
Podcast Guest Appearances
Prevailing Wage
Prevailing Wage Workers
Restaurant Group Benefits
Retirement Plans
RI Prevailing Wage
SC Prevailing Wage
SCA Audits
SCA Compliance
SD Prevailing Wage
SDVOB
SDVOSB
Seasonal Workers
Service Contract Act
Small Business
Staffing
State Prevailing Wage
SUB Plan
Supplemental Benefits
Supplemental Unemployment
Third Party Administrator
TN Prevailing Wage
Trust Services
TX prevailing wage
Uncategorized
UT Prevailing Wage
VA Prevailing Wage
Violations – SCA
Voluntary Benefits
WA Prevailing Wage
Wellness
WI Prevailing Wage
Workplace Health
Workplace Safety
WV Prevailing Wage
WY Prevailing Wage