State RegulationsNC specificDifficulty 2/5
For purposes of North Carolina's small-employer health coverage statutes, how many hours must a normal workweek include for an employee to be an eligible employee, and how many eligible employees may a small employer have at most?
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Answer & full 3-part explanation (select an option above, or peek)
Why A is correct
Under G.S. 58-50-110(10) and (22), an eligible employee is a full-time employee whose normal workweek is 30 or more hours, and a small employer is one that employed no more than 50 eligible employees on at least 50% of its working days during the preceding calendar quarter. Since 2014, this definition applies in North Carolina only to grandfathered group plans.
Why the other options are wrong
- B) 20 hours understates the full-time threshold; the statute requires a normal workweek of 30 or more hours.
- C) 100 employees doubles the statutory ceiling of 50 eligible employees.
- D) Both figures are wrong: the workweek threshold is 30 hours and the employer ceiling is 50 eligible employees.
Memory hook
Small employer math: 30-hour weeks, capped at 50 eligible people.