Small business owners who have at least one employee who receives a W-2 can purchase coverage for themselves and their employees. If you have up to 50 employees, you can purchase a small-group plan and may qualify for extra savings.
Why should I offer my employees coverage?
In some situations, your business may qualify for tax credits to compensate for paying for employees' premiums. To qualify, you must have less than 25 full-time equivalent employees and the average annual wages of employees must be less than $50,000. You must contribute to at least 50 percent of the premium cost for employee-only health coverage and offer one or more plans certified through the Marketplace.
Can I offer coverage to my employees' families?
You can, but if you're not financially able to contribute substantially towards premiums for their family, it may not make sense. Here's why:
Employees who are offered coverage through their job that is considered “affordable" are not eligible for financial savings through the Marketplace. But, here's the catch. If their family is also offered coverage through the employer and the coverage is “affordable" for just the employee to enroll, it is also considered affordable for the family. This means, even if it is costly to add the employee's family to the plan, they are not able to get financial assistance through the Marketplace. For this reason, many employers have decided to opt out of offering coverage to family members, which opens the gate to coverage and savings through the Marketplace.
When can I offer coverage?
Employers are able to set their own open enrollment period, and coverage is good for an entire year from the start date. It's best to talk with an insurance agent to figure out specific timing for your company.
Who can help?
Insurance agents are available throughout the state to provide one-on-one guidance for health coverage. Many agents help with both individual and group coverage. To find local help, visit OregonHealthCare.gov/GetHelp and search for small business assistance.