Small Business Health Insurance Plan – Do You Offer One?

The world is full of business-minded individuals, whether their goals are to lead a multi-million dollar company into the future, or simply start their own small business to provide services that are in demand and services they enjoy performing. However, not many businesses can make it without a couple of employees, and not many people are not going to work for a business, big or small, that doesn’t offer some kind of health insurance plan. That’s why so many small businesses fail; they can’t attract and keep the number of employees necessary to run their businesses because they don’t offer them benefits such as health insurance plans.

Small business owners should consider group health insurance plans for their employees, even though no employer – whether a small or large company – is required to offer health insurance plans to its employers.

A group health insurance plan offers a single policy to a group of people, such as employees, and sometimes even to the dependents of the employees. Even though employers aren’t required to offer health insurance plans to their employees, insurance companies are often required to provide group health insurance plans to small businesses; if, of course, it is requested.

However, the rates of the small business health plan are determined differently than the rates of individual health insurance plans. The insurance company usually looks at the group – the employees – as a whole, and factors such as age and sex are used to determine the cost of the small business health insurance plan. Other factors, such as whether or not the small business health insurance plan is offered to part-time employees along with full-time employees, can also help determine the cost. Many companies don’t offer health insurance plans to part-time employees, particularly for this reason.