Consider this scenario…
When Mark and Sarah started their family-owned bakery, they didn’t think much about health insurance beyond their own needs. As their business grew and they hired a few employees, they realized they needed a better solution for healthcare coverage. They wanted to provide benefits not only for themselves but also for their team. That’s when they reached out to us at Bay Area Health Insurance, and we helped them navigate the process of finding the right group health plan for their business.
If you’re a family business owner wondering whether you qualify for group health benefits, you’re not alone. Let’s break it down.
Does Your Family Business Qualify for Group Health Insurance?
Many business owners assume that group health insurance is only available to large companies, but that’s not the case. Even small, family-run businesses may be eligible for coverage. If your business has at least one employee who is not your spouse, you may qualify for group health benefits. This means that if you run a business with a sibling, child, or another relative—along with at least one non-family employee—you could be eligible to offer group health coverage to your team, including your family members.
How Many Employees Do You Need?
Insurance providers typically require businesses to have a minimum number of employees, usually between 2 to 50 employees, to qualify for a small group health plan. However, requirements can vary by provider and state regulations.
Additionally, some insurance companies may have specific requirements, such as:
- A minimum percentage of employees participating in the plan.
- A requirement for your business to be operational for a certain length of time before applying.
- Proof of consistent business income to ensure you can cover employer contributions to premiums.
And did you know… The “2 to 50” rule might not apply in all circumstances? Some providers will actually write a policy for an S-Corp or LLC with just the owner as the sole employee!
Discovering Your Group Health Plan Options
Once you determine your eligibility, the next step is choosing the right group health insurance plan. Different plans offer varying levels of coverage, including:
- Medical services (doctor visits, hospital stays, surgeries)
- Prescription drug coverage
- Preventive care and wellness programs
When comparing plans, consider factors such as premium costs, deductibles, copayments, and provider networks to find the best fit for your business and employees.
Take the Next Step Toward Affordable Health Coverage
If you’re a family business owner and unsure whether you qualify for group health benefits, we can help. At Bay Area Health Insurance, we specialize in finding the best coverage options for businesses of all sizes. Contact us with your questions, and let’s explore your health insurance options together!
