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With so many changes, how will the new law affect your business? Get your FREE health care reform law brochure.
Group health insurance is health coverage provided by an employer for business owners, employees and dependents.
Most Americans have group health insurance through their job or a family member's employer-sponsored group plan. Employers often share insurance costs with their employees. Special tax incentives offer added benefits to businesses that provide group health insurance.
As the employer, you simply select a group health insurance plan and then invite employees to enroll in the plan.
Typically, employers will cover at least half of each employee's monthly premium, and often also contribute to dependent premiums. The remaining cost is paid by the employee.
If you want to provide business health insurance benefits to your employees and you're able to cover a portion of their premiums, group health insurance is the best choice.
Providing group health insurance not only provides quality health insurance for your employees, but it can also help to hire and retain the best workers. Furthermore, the amount you pay toward employee premiums may be tax-deductible. Group coverage also protects workers and family members who would go uninsured due to their medical history. No one can be turned down based on medical history in group health insurance plans.
The health care reform law gives certain small businesses a tax credit of up to 35% (25% for tax-exempt eligible small groups) in 2010. You can estimate potential health insurance savings under the health care reform law with this tax credit calculator created by H&R Block.
Understand the potential financial effects of the following health care legislation on small businesses: