What does the ACA require of employers with 50 or more employees?

• A. Employers must provide affordable insurance for companies with 50 or more employees
• B. Employers must provide free insurance for all employees
• C. Employers with 50+ are exempt
• D. Employers can require employees to cover their own insurance

Answer: (A)

The main idea tested is the employer mandate: large employers must offer health coverage that is affordable and provides minimum value to their full-time employees (and their dependents). The best choice reflects both parts of the requirement—it isn’t about free coverage, exemptions, or shifting all costs to employees. The ACA sets that employers with 50 or more full-time equivalents must offer coverage that meets affordability and minimum value standards; failing to do so can trigger penalties. The other options misstate the policy by implying free coverage, exempt status for large employers, or letting employees bear the full cost without an offered option.