Benefits Q&A: Are We Required to File 1095-B Forms Electronically?

Question:

I just received an email from our insurance carrier that we are required to file 1095-B forms with the IRS electronically by March 31, 2024. This is the first time I have heard of this requirement. Help! How should I handle this?

Answer:

You’re not alone. The Miller Group has communicated the new electronic filing requirement a few times, but in a busy world with countless regulations, many small employers may still have been caught off guard. This is especially true for those who were newly self-insured in 2023 or previously had a carrier that completed the filing for them.

As you stated, beginning in 2024, nearly all employers that have to complete ACA reporting must now do so electronically. This year’s filing deadline is April 1, 2024, because March 31 falls on a Sunday.

If you’ve been caught unawares by the electronic filing requirement and don’t know how to proceed this close to the deadline, here are some key things to keep in mind when filing your 1095-B or 1095-C forms electronically:

• Employers that offer a fully insured health plan and are too small to be subject to the ACA’s employer mandate (i.e., fewer than 50 full-time employees) are not required to complete ACA filings.
• All other employers must complete the filing, including employers with fewer than 50 full-time employees that are self-insured. This type of plan is frequently referred to as “level-funded” coverage. 
• Employers may request an automatic 30-day extension of time to file by submitting IRS Form 8809 on or before the due date.
• Alternatively, employers can seek a waiver from the requirement to file electronically in cases of “undue hardship.” (You would still have to file paper forms, though.) The form for requesting the waiver is IRS Form 8508. Take a look at the form’s instructions for additional information on how to establish undue hardship.
• The electronic filing requirement applies only to the filing with the IRS, not the forms you provide to employees. (Those can still be mailed.)

Finally, The Miller Group works with a very reliable ACA reporting vendor that is still accepting clients for this year’s filing. Contact a member of your account team ASAP for additional information.