The importance of having Small Group Health Insurance:
- Offering small group health insurance helps hire and retain highly skilled workers.
- Potential employees want to know that their families will be taken care of.
- Providing small group health insurance for your employees and their families helps keep employees healthy and allows them to work harder.
- Costs are shared between the employer and employee. The employer doesn’t have to pay 100% of the cost.
Check out our blog called “Employee Benefits: How to Attract and Retain Top Talent” to see the importance of offering extensive benefits packages to your current, and future, employees.
What do you need to get a small group health insurance plan for your business:
- You need at least two full-time owners/employees as verified by officially filed state quarterly wage and tax statements.(DE-6)
- Your company needs to be a legitimate business: A business license of fictitious name filing, Articles of incorporation, Articles of Organization.
How to get a tax credit applied towards your small group health insurance plan:
Covered California SHOP (Small Business Health Options Program) helps smalls businesses compete with larger employers by providing their employes the same level of health benefits as larger companies. By receiving a tax credit through Covered California SHOP applied towards your small group health insurance plan, a small business owner can sign up for more expensive plans and be able to afford them.
How does this help smaller companies?
When a company qualifies for Covered California SHOP, they are able to court better qualified candidates by offering them the same level of health benefits as a larger company. The higher quality health plans available to an employee also helps foster longer retention rates. Employees are much more willing to stay with a company if they feel as if they are being taken care of. A healthy employee is proven to have less sick days and better overall performance.
Here is how your small business will qualify for the tax credit through Covered California:
- Have 1 – 50 employees (owner can not be counted towards employee total)
- Employee average wages are less that $50,000 and are paying 35% of the amount toward employee insurance premiums
Can you qualify for Covered California SHOP if you have over 50 employees?
In October of 2015, companies with 50 – 101 employees will be eligible to register for Covered California SHOP
What to do if you don’t qualify?
There are still plenty of options available to you. Feel free to reach out to us here at BLV Insurance Services and we will help you choose the right small group health insurance plan that will benefit not only you, but your employees as well.