On January 20, 2012 the Obama administration announced it would give Catholic hospitals and other religiously-affiliated institutions an additional year to comply with a health reform rule requiring non-grandfathered health plans to provide free birth control to women. Under the original rule, non-grandfathered health plans are required to cover contraceptive services without cost-sharing for plan years beginning on or after August 1, 2012 (thus, effective January 1, 2013 for calendar year plans). Churches, synagogues, mosques and other places of worship are already exempt from the birth control coverage rule.
Under the new exception, nonprofit employers, who, based on their religious beliefs, do not currently provide contraceptive coverage in their health coverage, will be provided an additional year, until August 2013, to comply with the new law. Employers wishing to take advantage of the additional year must certify that they qualify for the delayed implementation. In addition, HHS will require that the exempted employers provide a notice to their employees which states that contraceptive services are available at sites such as community health centers, public clinics and hospitals with income-based support. HHS has not yet disclosed details of the certification process.
Kathleen Sebelius, the head of HHS, declared that the proposal struck the “appropriate balance between respecting religious freedom and increasing access to important preventive services.” The United States Conference of Catholic Bishops, however, promised a legal challenge to the rule.