PassSprint
State RegulationsNC specificDifficulty 1/5

Which employer meets North Carolina's statutory definition of a small employer for health coverage purposes?

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Answer & full 3-part explanation (select an option above, or peek)

Why C is correct

G.S. 58-50-110(22) defines a small employer as one that, on at least 50% of its working days during the preceding calendar quarter, employed no more than 50 eligible employees. An eligible employee under G.S. 58-50-110(10) is a full-time employee whose normal workweek is 30 or more hours. Since 2014 the definition applies only to grandfathered group plans.

Why the other options are wrong

  • A) The test looks at working days across the whole preceding quarter, not a single snapshot day.
  • B) The measurement period is the preceding calendar quarter, not the entire year.
  • D) The 30-hour workweek defines an eligible employee under G.S. 58-50-110(10), not a small employer.

Memory hook

Small employer = no more than 50 eligible employees on at least half the working days of the last quarter.

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