>Low-wage employees have premium tax credits, but their children have no share

Low-wage employees have premium tax credits, but their children have no share (Alberta Times) The federal government promulgated new regulations on the implementation of the health insurance law on the 30th, showing that low-income earners participating in employer health insurance plans...

(Alberta Times)

New regulations issued by the federal government on the 30th to implement the health insurance law show that low-income employees who participate in employer health insurance plans can receive federal tax credits for their insurance premiums, but this does not apply to their children. Rights groups estimate that about 500,000 employees' children will be affected and may be uninsured. The health insurance law stipulates that large companies must provide insurance and subsidies for employees so that premiums do not exceed 9.5% of employees' salaries, otherwise the company will face fines. The federal government last year mandated that employers provide coverage for employees' minor children but do not have to subsidize it. Employers are not required to provide insurance for employee spouses. Starting in 2014, many low-income people who cannot afford insurance can receive federal tax credits for purchasing insurance premiums. But under the new rules, even if the premium exceeds the employee's burden, the tax credit policy does not apply to the children of employees who participate in employer health insurance plans. The government says these low-income earners will not have to pay penalties for not having health insurance. Treasury officials said the regulations were based on the provisions of the health care law, but activist groups were disappointed. The Consumers Union said that if the premiums for family insurance plans account for too much of low-income workers' income, the government should allow their children to apply for federal tax refunds. "This federal rule may prevent more uninsured people from obtaining health insurance," said Alliance lawyer Lori Sobel. This rule actually prompts families who want to buy insurance to compare and choose between insurance plans without tax credits and the premiums of employer health insurance plans.