As an employer, you may find that offering health insurance allows you to attract and retain employees and help your workforce stay healthy, happy, and productive. Covered California for Small Business (formerly SHOP) is available to employers with 50 or fewer employees, and makes it easy for them to offer their employees a choice of affordable health insurance plans. Enrollment in Covered California for Small Business is available year round, and you may be eligible for tax credits when you contribute to your employees’ health coverage.
At American Marketing Administrators, it is our business to know how to get you the best coverage for your employees at the best cost to you. Contact us for free advice on the range of quality affordable health plans available to you through Covered California for Small Business. There is no penalty for not enrolling in this, and there is no additional fee for using a Certified Insurance Agent. SHOP fact sheet
Variety and Quality Healtcare
Covered California for Small Businesses offers small businesses a choice of competitively priced health insurance plans from private insurance companies so both the employer and their employees can find a plan that fits their needs and budget.
Calculation and benefits for small business on buying health benefit products:
- Firstly, look out for the options which can cater the most of the employee needs like if you start with group plan the PPO is little on the expensive side but your employees can avail a number of physicians whereas HMO comparatively low cost but renders physician’s choice consult group health insurance broker.
- Secondly, you need to decide on the premium that can be afforded by your employees after insurance deductions, you got to understand all remunerations packages are not same, and you should also consider low premiums.
- Thirdly, you need to compare the offer with other brokers or directly from the insurance company. For this, you may need basic employee details and their health history. Small businesses paying moderate remuneration are entitled up to year’s tax credit.
The Law: The Affordable Care Act
As of 2014, all American citizens and legal residents are required by law to have health insurance, unless they are exempt, and failure to do this will result in a penalty. This is called often called “The Mandate”, and all Covered California health insurance plans meet the benefit requirements set out by it. You are not limited to Covered California plans, however, and others outside of the California Health Insurance Exchange will meet the requirements of “The Mandate”
What are my Options?
Health Insurance for small business plans have standardized benefits at four defined levels of coverage:
Employers can choose one or two plan levels of coverage to offer employees and define the amount they will contribute towards employees’ premium. The new option to select two coverage levels, called “Dual Tier Choice,” allows employers to select two adjoining metallic tiers — Bronze & Silver, Silver & Gold, or Gold & Platinum — instead of just one.
Each employee may then choose a health plan from within the employer’s defined level(s) of coverage. Defined coverage levels make it easy to compare health plans. Premiums and out-of-pocket costs are directly affiliated with the level of coverage selected.