Texas Small Business Health Insurance
As a small business owner in Texas, you know how important it is to keep your employees happy by providing them with health care choices that they can use. Nevertheless, there are a few things you should know that will help you make an informed decision when you are ready to purchase.
What is “Small Business”?
There are laws that distinguish small business from large business. Small business employers have certain legal protections including protections against annual rate increases and different rules as to what coverage they are required to provide. A small business is considered small for purposes of insurance if it employs between 2 and 50 full time employees, with full time defined as at least 30 work hours per week.
In addition, it’s the number of eligible employees in a business, not the total number of employees that determine whether or not a business is considered “small” under Texas insurance law. For instance, if you have 60 employees and 5 are insured elsewhere and 5 are part time, you may still qualify.
Health insurance for small business is generally offered in the form of group insurance. This type of insurance is distinguished from individual health insurance and as such, has some tax advantages. Group coverage provides medical care for yourself and your employees. In Texas, group health insurance must be made available to all full time employees, their spouses and dependent children under the same terms and conditions. This is different for large business, where eligibility requirements can be imposed on a spouse or a child, restricting coverage.
Benefits of Offering Health Insurance to your Employees
As a small business owner, often money is tight. In fact, you may be wondering why you would want to offer health insurance if you are not required to by law. Keeping your staff happy is an important part of maintaining your business. Basically, the happier they are at work, the better they perform. Second, offering health insurance can ensure you keep quality employees who might be forced to look elsewhere for another employer who provides insurance benefits. Finally, in addition to tax advantages, health savings accounts are a great way to offer medical covearage while keeping costs low.
Choosing a Health Insurance Company
There are several companies offering health insurance for small business. However, choose only reputable, credible companies like Blue Cross Blue Shield of Texas who have earned a reputation for reliability and dependability. With years of service behind them, they offer a variety of quality plans giving you the flexibility you need to meet your coverage needs as well as your budget.
