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Covered California and Your Employer

Updated: Oct 15, 2018


Applicable Large Employers (ALE) are employers with at least 50 full-time or full-equivalent employees. Under the provisions of the Affordable Care Act, an ALE is required to offer health coverage to its full-employees and their dependent children.


Recently a large number of small groups received a letter from Covered California indicating that your employer may be eligible for advanced premium tax credit for purchasing and enrolling in a qualified health plan (QHP) through Covered California. Please note that if your employer is not considered to be an ALE, they are not required by law to offer insurance.


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