In the past, small businesses often found it difficult to provide health insurance coverage to employees. But with the passage of the Affordable Care Act, which established state-run health insurance exchanges, small businesses now have the options of purchasing group health insurance through a program called Covered California Small Business.\r
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In many cases, federal tax credits help small business owners to offset the cost of health insurance premiums. Group health insurance helps businesses to attract and retain the best workers, and keeps those workers healthy and productive. In turn, business owners can often receive tax credits for providing this important benefit to their workers. It’s a win-win situation for everyone!\r
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In the past, a business owner needed to employ between one and fifty full-time employees, and have at least one employee who receives a W-2, in order to qualify for small business coverage through the exchange.\r
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However, the program has announced an important change for the upcoming year: The employee limit has now been raised, so that businesses with 100 or fewer employees can now access health insurance plans through Covered California Small Business!\r
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The program even allows business owners to select a level of coverage based upon their budget. All Covered California plans fall under the Bronze, Silver, Gold, and Platinum labels, according to coverage provided. In general, plans that offer more coverage and have lower deductibles also carry a higher premium.\r
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To aid in greater flexibility, business owners can actually choose two levels of coverage to offer their employees. For example, the owner can provide a Silver level plan to employees, with the option for employees to pay the difference and move up to a Gold level plan. Employer budgets are accommodated, while employees are offered a great range of choice!\r
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For more information on the Covered California Small Business program, give us a call to schedule an appointment. We can review your budget and options with you, help you determine whether you’re eligible for a tax credit, and aid you in selecting the right health insurance plan for your employees.