Health Insurance: I’m a Small Employer…What Are My Coverage Requirements?

You’re a small business and you’re growing … you’ve finally got 10 employees! While you’d love to provide them all with health insurance, you don’t actually have to by law. At this time, there are no federal or state laws requiring small employers to offer benefit plans to their employees.

There are however a number of laws surrounding group health plans, if you do decide to offer health insurance to select employees. These include ERISA and HIPAA, and they address issues such as setting minimum standards for most voluntarily health plans in the private sector, as well as the protection of individually identifiable health information and rights granted to individuals.

While you may not be required by law to provide your employees with health insurance, health insurance coverage is a valued employee benefit that will help you attract and retain top talent. A competitive employee benefits package has the power to differentiate you from fellow employers within your market or industry, which gives your organization more ways to grow and thrive.

Does the thought of introducing additional compliance concerns to your workplace scare you? For businesses engaged in a PEO relationship, expert help with risk management and compliance protects the client from costly fines and lawsuits surrounding ERISA and HIPAA. PEOs also assume much of a business’s risk through the co-employment relationship.

For smaller or select companies that may not benefit financially from entirely outsourcing “everything HR,” Employer Solutions Plus offers Benefits-Only Management for Group Health Plans. Our health insurance experts focus on setting up your policies, while you focus on growing your business.

For more information on health insurance and compliance, visit our benefits section within this blog. For immediate questions or concerns, contact us.