President Obama quietly signed H.R. 1624, a small-group definition bill, into law Wednesday.
The new Protecting Affordable Care Coverage for Employees (PACE) Act will let each state decide whether to set its upper size limit for small groups at 50 employees or 100 employees.
The law changes a small-group definition provision in the Patient Protection and Affordable Care Act of 2010 (PPACA). The PPACA provision would have required all states to set their small-group cut-off at 100 employees starting in 2016.
The National Association of Insurance Commissioners (NAIC) has argued that leaving the PPACA definition requirement in place would have disrupted some states’ small-group markets.