Get More Benefits &
Save More! Call For
More Info Today

Small Business Health Insurance

How Does Small Business Health Insurance Work?

Getting coverage through a small business health insurance plan can be more affordable as compared to purchasing coverage by yourself. Here is what you have to know:

• Coverage is usually a guaranteed issue
• You need at least one employee to be eligible
• You have to contribute toward employee premiums
• And you can buy coverage at any time of the year

Compare Forms of Small Business Health Insurance Plans

Health Maintenance Organization (HMO): HMO plans to provide affordable, comprehensive health coverage with relatively low out-of-pocket costs, but most care must be done in-network to avoid additional expenses.

Preferred Provider Organization (PPO): While premiums are usually higher for a PPO compared to a HMO plan, PPOs typically provide more extensive networks and give you more flexibility.

Point of Service Plan (POS): A POS health plan is a hybrid, comprising features of PPOs and HMOs. POS plan premiums are typically mid-range between HMO and PPO plans. Nevertheless, the POS network size varies by location.

How to Select the Right Small Business Health Insurance Plan

Assess Your Requirements

First, determine what your small business requirements in a health insurance plan. Consider the following:

• Who will be covered? Consider the requirements of your employees and their dependents to find coverage that will suit the group’s diverse medical and financial needs.
• How much cost-sharing can you pay for? The workers and the employer pay premiums for small business health insurance. Be sure to consider how much cost-sharing makes sense for your business.
• What types of benefits are essential for you and your employees? While federal privacy laws forbid employers from inquiring about employees’ medical history, it is significant to ask your employees which kinds of benefits are important to them.

Compare Small Business Health Insurance Choices

There are many factors to consider when weighing your small business health insurance choices. At Health Insurance Plans, we recommend using the following 5 criteria to find plans that best match your requirements:

• Monthly premiums: Know what you and your workforces will be able to pay every month.
• Deductibles, copayments, and coinsurance: Make sure that these types of payments will be manageable for you and your employees when you receive medical care.
• Medical provider networks: If you already have a preferred physician or facility, make sure they will be included in your new coverage.
• Prescription drug coverage: Utilize Health Insurance Plans’ prescription drug comparison tool to see which plans to cover individual prescription costs.
• Coverage add-ons: With Health Insurance Plans, you can add things such as vision and dental care to ensure your employees are fully covered.

Small Business Health Insurance Enrollment Process

• Enrollment is the process of getting your workers and their dependents registered for your new health coverage. Once you have chosen a plan, a Health Insurance Plan agent can walk you through the enrollment process.
• During enrollment, ensure you answer all questions honestly and to the best of your knowledge. Though premiums may vary based on certain persons’ medical history, no employee will be declined coverage.

Resources and References:

• Features of a Point of Service Plan
• Supplemental Health Insurance