Business Health Insurance


How much does group health insurance cost?

The insurance company will determine the final monthly cost for your group health insurance plan once your application has been reviewed and approved. The insurance company will assess your group using a number of criteria, including the size and location of your company and the ages of your employees, to arrive at the final monthly rate, or premium. As part of the Affordable Care Act, the health of your employees, including pre-existing conditions, no longer impact group health insurance rates. Please note that your final monthly rate will be the same whether you apply through LTDT Insurance, another health insurance agent, or directly with the insurance company.

How does Obamacare impact small businesses?

Under the Affordable Care Act (also known as “Obamacare”), businesses with fewer than 50 full-time-equivalent employees aren’t required to provide health insurance to their employees and won’t face tax penalties for not doing so.

Small business employers may receive tax credits when they provide coverage, as follows:

  • Employers with 25 or fewer employees with average annual wages of less than $50,000, may be eligible for a special tax credit of up to 50% of the amount the employer contributes (at least 50%) toward employee insurance premiums. 

Whether you offer health insurance to employees or not, it is absolutely critical that you make your employees aware of their obligation to seek health coverage under the Affordable Care Act. And, you have to let your employees know that they have access to guaranteed coverage in the individual market, and that they may be eligible for government subsidies if the coverage you provide them is not deemed to be affordable under the law.

Beginning in 2015, businesses with the equivalent of 50 or more full-time employees must provide “affordable” health insurance or pay a tax penalty.

Who qualifies for group health insurance?

Your company will probably be eligible for a small business plan if it meets the following criteria:

  • Your company consists of at least two full-time owners, officers, partners, and/or employees, as verified by officially filed state quarterly wage and tax statements or annual federal tax return documents.
  • Your company is a legitimate business entity (i.e., your company was formed for a purpose other than to obtain insurance), as verified by one of the following documents:
           –  A business license or fictitious name filing (for proprietorships and partnerships)
           –  Articles of incorporation (for corporations)
           –  Articles of organization (for limited liability companies)
  • Your company meets the minimum employer contribution percentage set by the insurance company.

Please note that eligibility criteria may vary among insurance companies. If you have any questions about your company’s eligibility for a particular small business plan, please call  LTDT Insurance  (239) 260-1060 for more information.


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