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Obama signs law to halt small-group market expansion

Affordable Care Act provision may have led to premium hikes
October 8, 2015 | By
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President Barack Obama has officially signed a bipartisan-supported law to amend an Affordable Care Act provision that some warned would lead to health insurance premium increases and harm small businesses, the Associated Press reports. Had the president not signed the PACE Act late Wednesday, an ACA provision was set to change, as of Jan. 1, the definition of the small-group market to include companies with 100 or fewer employees. Previously, that definition had only applied to companies with 50 or fewer employees. The change would have been significant because employers in the ACA's small-group market are subject to more restrictive employee benefits guidelines, which if applied to mid-size employers, likely would result in a "major market disruption," FierceHealthPayer has reported. The legislative fix for the provision leaves it up to states to decide whether to expand the small-group market definition. Article

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