More than 45 percent of businesses with three to nine workers offer health insurance benefits to their employees. Small or large, just over 78 percent of employees participate, which shows how much they value this insurance coverage. As a company grows, they’re more likely to provide this benefit.
Do you want to help your employees add or change their insurance coverage, but you’re unsure what is available? Here’s a guide to open enrollment to help you understand your options.
Enrolling in Small Business Insurance Plans
If you are a qualifying small business, you can enroll in a new small business plan at any time during the year. To qualify, you must have between one to 50 employees.
The employer can enroll in the plan but there has to be at least one other person enrolled as well. There are very specific rules about who this other person can or cannot be. It’s a good idea to consult with an insurance agency for the details.
When Is Open Enrollment?
Open enrollment is a term that applies to individuals who want to enroll in an individual health insurance plan. For individuals, open enrollment is the period between November 1 and December 15 each year. That’s the time when an individual can select their health insurance plan for the following year.
Small Business Open Enrollment
Open enrollment for businesses is the time during the year when your current staff can adjust their health insurance policy. Your business can set your business open enrollment period. Most companies use the November 1 to December 15 date.
Some have several open enrollment dates throughout the year, depending on their insurance provider’s rules. Keep your employees informed of your available enrollment periods by including them in staff handbooks or on your internal website.
Exceptions to the Open Enrollment Period
New employees and existing staff who have a qualifying life event (QLE) are the two exceptions to the open enrollment period. All new staff may enroll in an insurance plan after they meet the new hire qualifications. Once they’re in the plan, they can’t make any changes until the following insurance open enrollment dates.
What Is a Qualifying Life Event?
A qualifying life event is when an employee has a child or adopts a child. Marriage and other major life events are also considered qualifying life events.
Here are some other life events that may be considered QLEs.
- Your citizenship status changes
- A death in the family or other family structure change
- You or your dependent lose minimum health coverage
- The government makes an error that causes you to lose, change or enroll in coverage
- Your eligibility for Obamacare subsidies changes
- You make a permanent move to a new area and have access to a new qualified health plan.
Usually, there’s a time frame after the QLE when the employee must make changes to their medical or life insurance. This time window may be called a special enrollment period. Check with your insurance provider for their specific definitions.
Ask About Open Enrollment Today
Our goal is to help our clients find affordable solutions to their insurance needs. We work with the major insurance carriers to optimize your choices. Ask us about open enrollment plans and how we can help get you the coverage you need!
Contact FutureWise Insurance for the right group coverage options for your small business. Make your future a wise one with Future Wise.