As an employer, you’ve likely been told that you need group health insurance in Osage Beach to attract and retain good employees. While you want to protect your employees and offer attractive benefits, hearing this can have you scratching your head. There are so many elements to consider and so many various needs to meet.
To help you navigate your search and simplify the process, here are a few answers that will give you some clarity on what you need.
What Exactly is Group Health Insurance?
Group health insurance is a plan offered by an employer that provides health coverage to employees and families.
Employers like group health plans because they’re often more cost-effective. Employees like them too because they’re often less expensive than individual health plans.
No two group health insurance plans are the same though. As you begin to do your research about which is right for your organization, there are a few questions that might come up. Here are four of the most common questions we hear about group health insurance in Osage Beach at McGrath Insurance Group.
Question 1: How Many People Are Needed to Create a Group for Group Health Insurance in Osage Beach?
To be eligible for group health insurance, your business must have at least two employees. While that might seem straightforward, there are a few caveats to be aware of.
Sole proprietors do not qualify for group health insurance plans. If you’re your business’s only employee, you must look into options for individual and family health insurance instead. This is also the case if only you and your spouse are employees in the company.
On the other hand, if your business has over 50 employees, you’ll need to apply for large group coverage, meet group coverage reporting requirements, and/or meet a minimum of group health insurance standards.
For the sake of group health insurance, an employee is defined as anyone who works over 30 hours a week in your business. To be considered an employee, your business must have control over the work the person does and the way the person goes about doing that work.
You must also enroll 50% of your full-time, uninsured employees. If some of your employees already have group health insurance coverage or their own individual plans, they don’t count towards the 50% rule.
There are other rules for part-time, seasonal, or full-time equivalent employees. It’s important to speak to an insurance agent who can help you clarify what you need in these unique circumstances.
Question 2: Does the Employer Have to Pay All of the Premium?
No, employers do not have to pay for all of the premiums, but they have to pay at least 50%. Premium costs are shared between the employer and the employee. The money the employer pays into the premiums for their employees is tax-deductible. Likewise, the employee’s premium payments are made before paying taxes, which helps them save money on their taxes at the end of the year because it reduces their total taxable income.
Question 3: Can Spouses or Children Participate in the Plan?
In most cases, yes, family members and dependents can be added to group plans. There is an additional cost for these members, but it’s often worth it when the employee is the sole provider for the family. Individual health plans typically carry higher premiums.
Question 4: What Companies are Available to Buy Group Health Insurance Through in Osage Beach?
The health insurance industry is constantly evolving. In order to best understand which group health insurance plans are available to you in Osage Beach, it’s important to reach out to an agency, such as McGrath Insurance Group.
At McGrath Insurance Group, we keep up-to-date on all of these changes and can help you find the best plan to fit your needs in our area. Contact us today to get more information about what’s available to your business and the options you can offer your employees.
