Healthcare Reform

HCR

Providing quality health insurance to employees can be a real challenge for small employers, especially when it comes to cost. Small businesses typically pay about 18 percent more than large firms for the same health insurance coverage, and lack the purchasing power of larger employers. To help close this gap, the new health care law provides tax credits and soon the ability to shop for insurance in Exchanges. The confusion starts when trying to navigate all the changes, the roll out dates of specific parts of the law, as well as the implications of the law on your business.

Member Insurance Agency can help you make sense of the Affordable Care Act by providing the education you need to ensure a smooth transition for your business. We’ve put together a list of things you need to know as a small business owner, as well as a list of helpful resources.

If you should have any questions about health care reform, or would like to learn more about Member Insurance Agency, including our complete line of insurance products for your business, employees and family, please call us at 800-609-8546 or marketing@memberins.com

Outside of those specialized programs, MIA has access to many other carriers to accommodate the needs of ANY class of business!

  • If you have up to 25 employees, pay average annual wages below $50,000 and provide health insurance, you may qualify for a small business tax credit of up to 35 percent (up to 25 percent for nonprofits) to offset the cost of your insurance.
  • Under the health care law, employer-based plans that provide health insurance to retirees ages 55-64 can now get financial help through the Early Retiree Reinsurance Program. This program is designed to lower the cost of premiums for all employees and reduce employer health costs.
  • Starting in 2014, the small business tax credit goes up to 50 percent (up to 35 percent for non-profits) for qualifying businesses. This will make the cost of providing insurance even lower.
  • In 2014, small businesses with generally fewer than 100 employees can shop in an Affordable Insurance Exchange, which gives you power similar to what large businesses get (i.e., better choices and lower prices). An Exchange is a new marketplace where individuals and small businesses can buy affordable health benefits plans.
  • Exchanges will offer a choice of plans that meet certain benefits and cost standards. Starting in 2014, members of Congress will be getting their health care insurance through Exchanges, and you will be able to buy your insurance through Exchanges, too.
  • Employers with fewer than 50 employees are exempt from new employer responsibility policies. They don’t have to pay an assessment if their employees get tax credits through an Exchange.

Click on the following links for help with your questions about what is coming:

For more information on how the healthcare law affects you and your business visit: www.healthcare.gov

Digital Insurance at www.digitalinsurance.com

Learn more about the Early Retiree Reinsurance Program at www.errp.gov

See if you qualify for the small business tax credit at www.irs.gov

Employer Bulletin: FAQ’s on Automatic Enrollment, Employer Responsibility, and Waiting Periods

The Member Solutions Risk Management HelpDesk is another way you and your fellow policyholders benefit from the increased value and service Member Insurance provides.

Individual mandate:
Everyone must have health coverage or pay a penalty.

Employer mandate:
Employers with more than 50 employees must provide coverage or pay a penalty if any employee receives a subsidy.

Large employer auto enrollment:
Employers with more than 200 full-time employees that offer coverage must auto-enroll employees (who can opt out).

Exchanges:
States must have exchanges up and running by 2014 or the government will come in and set up itself.

Wellness incentives:
Employers can offer rewards of up to 30 – 50% of premiums to employees who take part in wellness and meet health standards.

No pre-existing condition exclusions:
Coverage cannot be denied for those with pre-existing conditions.

Comprehensive coverage:
Individual and small group plans must include essential health benefits.