State RegulationsNC specificDifficulty 2/5
Under G.S. 58-50-110(22), which combination correctly describes the North Carolina small-employer health coverage definitions?
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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(22) and (10), an eligible employee is a full-time employee whose normal workweek is 30 or more hours, and a small employer is one that, on at least 50% of its working days during the preceding calendar quarter, employed no more than 50 eligible employees, with the majority of its employees in North Carolina. Since 2014 this definition applies to grandfathered group plans.
Why the other options are wrong
- B) The 20-hour figure is a relic of the repealed prelicensing requirement; the workweek threshold under G.S. 58-50-110(10) is 30 hours.
- C) 18 months is the group continuation period under G.S. 58-53-35(a)(1), not an employee-count limit.
- D) Neither the 45-hour workweek nor the 30-employee ceiling appears in G.S. 58-50-110.
Memory hook
Small employer: 30-hour weeks, 50-employee ceiling, counted on half the quarter's days.