Georgia Navigator Practice Exam

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What is the purpose of the Employer Mandate?

To ensure all employees receive maximum health benefits
To penalize employers that do not offer Minimum Essential Coverage
To require employers to provide long-term disability insurance
To enhance employee retirement benefits

The correct answer is: To penalize employers that do not offer Minimum Essential Coverage

The purpose of the Employer Mandate is to penalize employers that do not offer Minimum Essential Coverage. This requirement is part of the Affordable Care Act (ACA), which aims to increase the number of Americans who have health insurance. Specifically, employers with a certain number of full-time employees must provide health insurance that meets specific standards set by the ACA. If they fail to do so, they face penalties from the government. This is intended to promote responsible behavior among employers regarding employee healthcare, thereby helping to reduce the number of uninsured individuals and spreading the cost of health insurance more evenly across the population.