Healthcare Reform: Answers to your Burning Questions (as a Small Business Owner)

Alright, so in the previous blog post, I addressed a few questions for individuals seeking out coverage through the Affordable Care Act (ACA) – again, “Obamacare” for those who are inclined. But what about small businesses? If you’re an owner, you likely have a TON of questions. That’s absolutely reasonable. Let’s get to it.

With restrictions and deadlines shifting constantly, why should I hurry to meet them?

To be frank – do it for your employees. They have concerns over the changes, just as you do running a business having to make accommodations for the reform. The fact is that many employees (and people in general) are under informed of how it will affect them:

• Will my health care coverage be improved, or diminished?
• Will the medical costs I’m currently responsible for increase? (According to the 2013 Aflac WorkForces Report, 83% of workers actually believe the answer to that question is yes)

Your workforce drives your business. Putting to rest any fears or concerns they have will only benefit you.

How do I get started?

Initially, it’s a good idea to look into the Small Business Health Operations Program (SHOP), set up to assist businesses with 50 or fewer employees select the best health insurance for their employees. At Pure Risk Solutions, we can guide you through this process and remove the hassle.

What are some other key guidelines?

•  $2,500 Flexible Spending Account (FSA) limit on employee annual salary reduction contributions by employee-sponsored cafeteria plans
• 90 day maximum waiting period, beginning January 1, 2014
• Increased reward capacity for Employer Wellness Incentives
• All self-insured employers must report their employer’s health insurance coverage information to the IRS each calendar year

Will my business be eligible for a tax credit?

Possibly. A Small Business Health Care Tax Credit will be available to small business with 25 or fewer employees, with average income of less than $50,000.

Next steps?

Again, let Pure Risk Solutions be your advocate! To learn more, please call me or my colleague and resident healthcare reform expert, Dave Godel, for more information at (866)738-2180 or send him an email at dave@purerisksolutions.com.

Questions? Comments? Frustrations? Success stories? Connect with us on Facebook and tell us about your experiences in looking into health insurance coverage for your small business, or your thoughts from an employee point of view. Please also feel free to leave a comment below.

Healthcare Reform: Answers to your Burning Questions (as an Individual)

Like many Coloradans, at this point you’re probably aware that the Affordable Care Act (ACA) - aka “Obamacare” - state exchanges are now live. It’s a historic milestone for the U.S., but just the same, you may be thinking that finding the right coverage will be a daunting task. So, let’s make it less daunting.

How does this apply to me?

If you already have health insurance through your employer, you are covered. But in order to really answer that, it’s fundamental to understand who stands to benefit the most through the reform. The simple answer would be those who suffer in the system today:

·         People currently uninsured, who will get coverage; and

·         The under-insured, who will be provided with superior benefits.

Further, the ACA holds a check on health insurance companies so that they cannot discriminate against individuals with pre-existing conditions by charging more or denying coverage.

So when do I sign up?

Now! There are a few dates you need to keep in mind to ensure that you ring in the new year with the best possible coverage.

·         December 15, 2013: Enrollment deadline to be covered on January 1, 2014

·         March 31, 2014: Marketplace open enrollment ends

At this point, time is still on your side. But take the initiative now, and ensure health and happiness for you and your family in 2014 and beyond.

Well... what if I don’t sign up?

The simple answer? You will owe Uncle Sam part of your paycheck. Because the primary objective of the ACA is for all Americans to have health care coverage meeting the basic minimum standards, naturally, the government will enforce penalties for those who are not proactive in the enrollment phase. To what extent? After the March 31^st date passes, those uninsured will be required to pay the following:

·         1% of their yearly income or $95 per adult in 2014 (whichever is higher)

·         $47.50 per child in a family household

It’s also important to keep in mind that if you don’t sign up by the start of April 2014, you will be unable to obtain coverage until the next annual enrollment period opens (not to mention penalties will go up!). But c’mon, that’s obviously not something you – the diligent and responsible individual you are – will need to worry about!

How can I benefit?

Begin by thinking about the individual health care needs of you and your family, as well as your budget. And then remember that professional help is available! As a certified healthcare broker, Pure Risk Solutions can take that information and weigh your options to see if certain benefits of the system apply to you, such as:

·         Lower Monthly Premiums

Household income and size determine who will qualify for lower monthly premiums as well as eligiblity for lower out-of-pocket costs for things like copayments, coinsurance, and deductibles.

·         Tax Credits

Tax credits are available to those who qualify, to partially or fully offset the price of the insurance. Find out if you’re eligible for premium tax credits here.

·         ACA Insurance versus Current Employer Plans

The ACA is designed to keep existing employer-based insurance in place, but it is possible to opt out and obtain coverage through Connect for Health Colorado if an employer offers an underwhelming plan.

Next steps?

Let Pure Risk Solutions be your advocate. If you’d like to learn more, please call me or my colleague and resident healthcare reform expert, Dave Godel, for more information at (866)738-2180 or send him an email at dave@purerisksolutions.com.

Questions? Comments? Frustrations? Success stories? Connect with us on Facebook and tell us about your tips for buying individual health insurance. Please also feel free to leave a comment below.

Pure Risk Solutions Insurance Agency celebrated grand opening and ribbon cutting for their new offices in Erie, Colorado on May 9th, 2012.  The new office provides a central location and great atmosphere for our clients and a wonderful work environment for our staff.  We are proud to be a part of Erie's growth and look forward to the future here.