Small Businesses
- The Small Business Health Option Program (SHOP) is opened to employers with 50 or less full-time equivalent employees.
- An employer must offer coverage to all full-time employees if they plan to use SHOP. SHOP lets employers:
- Choose how much an employer pays towards premiums
- Compare health plans and choose the right one for their business
Starts January 1st, 2014:
Small Business Tax Credits
- The Health Care Tax Credit helps small businesses afford the cost of health insurance for their employees.
- Tax credits may apply to businesses with fewer than 25 full-time employees that make an average of about 50,000 dollars a year or less.
- The tax credit is worth up to 50% of the business owner’s contribution. (35% for tax-exempt employers)
Big Businesses
- A "Big" business is defined as having 50 or more full-time employees.
- The Small Business Health Option Program (SHOP) will not be opened to "big business" until 2016.
- Only "big" businesses with up to 100 full-time employees will be allow to use the SHOP marketplace to buy health coverage for their employees.
- Businesses who do not offer health care coverage may be faced with penalties
Self-Employment
- Self-employment is defined as running an income-generating business with no employees.
- The Small Business Health Option Program (SHOP) is opened to self-employed individuals.
- Self-employed individuals can not be turned down or charged more because they have a pre-existing health condition.
Quick facts
A full-time employee is defined as an employee who works an average of least 30 hours per week.
- Insurance plans cannot turn down employers based on the status of their employees or their dependents, even if they have pre-existing conditions.
- Insurance plans also can not charge high premiums for women, or increase premiums for employees with high medical costs.