“Limited Benefit” Medical Plans: Last Call for PPACA Waiver Requests
A “limited beneﬁt plan” (or, as some people refer to it, a “mini-med plan”) is a type of medical plan that offers very limited beneﬁts. Although doctor visits and hospital stays are typically covered, beneﬁts are capped at a fairly low dollar amount. For example, beneﬁts might be capped at $10,000 per year. Limited beneﬁt plans are typically offered by employers who have a signiﬁcant number of either part-time employees or employees whose hours greatly vary from week to week. This describes many employers in the restaurant industry and, in our experience, limited beneﬁt plans are common in that industry. Most of our clients do not offer a limited beneﬁt plan to their employees, but a small number do.