Understanding the Differences Between Forms 1095-B and 1095-C

Under the Affordable Care Act (ACA), certain employers and insurers are required to provide forms detailing health coverage information to both the IRS and individuals. Two such forms—1095-B and 1095-C—serve similar purposes but apply to different groups and contain distinct information.

Let’s break down the differences, use cases, and filing requirements of these two important ACA forms.

What Is Form 1095-B?

Form 1095-B is used to report minimum essential coverage (MEC) provided to individuals. This form is typically issued by:

• Insurance companies offering fully insured plans

• Small self-insured employers (fewer than 50 full-time employees)

• Government programs (e.g., Medicaid, CHIP, TRICARE)

It includes:

• Names of covered individuals

• Months of coverage during the calendar year

• The entity providing the insurance

Filed with: IRS and provided to each covered individual

What Is Form 1095-C?

Form 1095-C is used by Applicable Large Employers (ALEs)—employers with 50 or more full-time or full-time-equivalent employees—to report:

• Offers of health insurance coverage

• Coverage details (including affordability and plan type)

• Enrollment info if the employer is self-insured

Form 1095-C helps the IRS determine:

• If an ALE complied with the employer mandate

• If an employee is eligible for a Premium Tax Credit

Filed with: IRS and provided to each full-time employee

1095-B vs. 1095-C: Key Differences