The Importance of Health Insurance for Small Businesses
Updated: Feb 9
As a small business owner, you have a lot on your plate. From managing day-to-day operations to handling marketing and finances, it can be tough to find time to focus on your own health and well-being. However, one important area you can't afford to neglect is your health insurance coverage.
Small business owners often think that they don't need health insurance because they're healthy and don't use much medical care. However, the truth is that accidents and illnesses can happen to anyone at any time. And if you're not properly protected, a sudden health crisis could leave you with a huge financial burden.
In this blog post, we'll take a look at why every small business needs health insurance and how to find the right plan for your business.
The Affordable Care Act Requires Small Businesses to Offer Health Insurance
One of the most common misconceptions about health insurance is that it's not required by law. However, under the Affordable Care Act (ACA), also known as Obamacare, all businesses with 50 or more full-time equivalent employees are required to offer health insurance to their employees or face potential penalties.
While the ACA employer mandate has been delayed until 2020, it's still important to be aware of this requirement and start planning ahead. If you have 50 or more full-time equivalent employees, you'll need to offer them health insurance or pay a penalty of $2,000 per employee (minus the first 30 employees).
Offering Health Insurance Attracts and Retains Top Talent
In today's competitive job market, offering health insurance is one of the best ways to attract and retain top talent. In fact, a recent survey found that nearly 60% of workers would consider leaving their job for one that offered better benefits.
If you want to attract and retain the best employees, offering health insurance is a must. Not only will it help you attract top talent, but it will also keep your current employees happy and loyal to your company.
Health Insurance Protects Your Business from Financial Burdens
Another reason why every small business needs health insurance is that it protects your business from financial burdens in the event of an accident or illness. If you or one of your employees gets sick or injured, having health insurance will help ensure that you're not left with tens of thousands of dollars in medical bills.
Without health insurance, a serious illness or injury could bankrupt your business. But with proper coverage, you can rest assured knowing that your business will be protected financially in the event of a medical emergency.
As a small business owner, it's important to have adequate health insurance coverage for yourself and your employees. Not only is it required by law under the Affordable Care Act (ACA), but it also helps attract and retain top talent, as well as protects your business from financial burdens in the event of an accident or illness. If you are interested in more information and would like to receive a free consultation and quotations, please reach out to us. We are Benefits 4Business, the Colorado small business health insurance specialists.
9 Reasons to Offer Small Business Health Insurance. (n.d.). 9 Reasons to Offer Small Business Health Insurance. Retrieved November 11, 2022, from https://www.ehealthinsurance.com/resources/small-business/9-reasons-to-offer-small-business-health-insurance#:~:text=Providing%20small%20business%20health%20insurance%20can%20show%20your%20employees%20that,an%20asset%20to%20your%20organization.
Why Health Insurance Is Important to Your Business | The Hartford. (n.d.). Why Health Insurance Is Important to Your Business | the Hartford. Retrieved November 11, 2022, from https://www.thehartford.com/business-insurance/strategy/health-insurance
Alise Garcia, D. C. (n.d.). Health Insurance for Small and Large Businesses - State and Federal Roles. Health Insurance for Small and Large Businesses - State and Federal Roles. Retrieved November 11, 2022, from https://www.ncsl.org/research/health/small-business-health-insurance.aspx