An employer must have at least one non-spousal W-2 employee (including the owner) working at least 30+ hours per week to be considered eligible for group insurance. Most insurance companies require the majority of your employees to enroll in coverage; however, there are some exceptions to this rule.
Generally speaking, no. Since the adoption of the ACA, the IRS and DOL have discouraged and penalized this practice. Individual Coverage Health Reimbursement Arrangement (ICHRA) and the Qualified Small Employer Health Reimbursement Arrangement (QSEHRA) are two potential ways employers can reimburse employees for their individual coverage but they must be properly administered and aren’t always a fit for every employer. Talk to us about the best way to achieve your goals.
It depends. If you are an Applicable Large Employer (ALE), you will be required to meet the ACA IRS affordability test. If you're a small employer, insurance companies typically require the employer to pay a minimum amount of the employee's portion of the health insurance premium. Generally, the required amount is either 50% of the employee premium or a minimum of $100. This required amount can be different depending on the insurance company and the state in which your plan is domiciled.
1099 contractors are not considered employees and would not be eligible for group insurance.
In 2014, the Affordable Care Act determined that health insurance companies can't refuse to cover someone (or charge higher premiums) if they have a medical issue prior to the date their new health coverage begins. There is an exception to this rule if your plan is considered a Grandfathered Plan.
Insurance contracts are month-to-month and can be cancelled at any time. However, insurance premiums are typically locked in for a 12-month period. But employers generally can change to a different insurance company at any point throughout the year.
From our client's perspective, they won't see much of a difference because of our service model but yes, some insurance companies are better in certain areas than others...and each market segment, region, and state may differ.
No. Insurance companies generally don't work directly with employers so it's important to partner with a trusted consultant who has your company's best interests in mind.
This depends on the state your health insurance is domiciled. In California, the health insurance companies will require all employees, other than owners, to be covered under the company's workers' compensation.
