Are you looking at insurance coverage for your small business? Have you wondered what small group health insurance is and what it can do for you and your employees?
Approximately 13.9% of adults in the US are uninsured, so it’s more important than ever to look at coverage for your business. If you want your small business to be successful, it’s time to consider the health of your employees.
Keep reading to learn all about small group health insurance and how it can benefit your small business.
What Is Small Group Health Insurance?
If you’re a small business, offering a good health benefit plan for your employees can be challenging.
Luckily, small group health insurance is designed specifically for smaller employers. Small group health insurance benefits are group insurance policies that can be purchased by businesses that have between 2 to 50 full-time employees.
A business can buy a small group health plan at any time throughout the year from an insurance company. Most insurance companies will require you to have at least 75% of employees enroll in the policy.
Enrollment Periods
Enrollment periods usually take place once a year. Employees are then given the option to accept or decline coverage during the initial enrollment period.
After this initial enrollment period, employees can enroll during a special enrollment period which is determined by a qualifying life event. Qualifying life events include:
- Birth or adoption of a child
- Marriage or divorce
- Loss of other medical coverage
- Moving to a different area
- Change of income
- Becoming a US citizen
If your employee has a qualifying event, they’ll have 60 days to select a new plan or switch to a plan with different coverage.
What Does Small Group Health Insurance Cover?
Small group health insurance plans have to be compliant with the Affordable Care Act and offer certain essential health benefits like hospitalizations, visits to your doctor, and maternity and newborn care.
You’ll also find they cover lab tests and preventive services. Other health benefits include:
- Prescription drugs
- Services for mental health disorders
- Services for substance abuse
- Rehabilitative services
Although smaller group health plans don’t offer vision or dental care coverage, businesses can add them to their plan as additional benefits employees can pay for at an extra cost.
Benefits of Small Group Health Insurance
Offering small group health insurance is a big decision, especially for a small business. It’s important to know there are a lot of benefits to both the employer and employees when it comes to these types of plans.
Some advantages to offering small group health insurance include:
Small group health insurance plans typically offer insurance plans at a lower cost per person compared to other types of health coverage.
You’ll also receive tax incentive benefits from offering a group health plan. Employers can usually deduct the cost of monthly premiums from their business taxes. Many employers can also benefit from the small business health care tax credit.
Even as a small business, offering health insurance options for your employees helps you stand out as an employer as well as gives you healthier and more productive employees.
Find Small Group Health Insurance Today
Remember, small group health insurance policies are one of the best long-term investments your business can make.
To learn more about your small group insurance options, make sure you turn to FutureWise Insurance for help. We can help you find the best small group coverage that fits your budget.
The professionals at FutureWise are available to answer any questions you may have, so contact us today to get the coverage you need tomorrow!