This provision of PPACA requires large employers with 200 or more full time employees to automatically enroll new employees in one of the employer’s health benefit plans, subject to waiting period rules, and to continue the coverage of existing employees in a health plan, unless an employee opts out. Previously, DOL had indicted that employers would not be required to conform to this rule until regulations were issued and that these regulations would be completed by 2014.

With Technical Release 2012-01, DOL now says its regulations on this issue will not be ready by 2014 and that employers will not be required to comply with the automatic enrollment provision until these final regulations are effective.