You may be liable for a Small Business Health Insurance Tax Credit to help offset the costs of purchasing your insurance if you buy it through the SHOP market in your state. Although many of the plans in each state’s SHOP market are also available outside of it, purchasing them through SHOP is the only way to receive the tax credit.
How to Predict Your Premium Rates
Numerous factors may determine the premium rates you’ll pay for each employee in your company. Several of the most common is the age of the person in question, and whether they smoke. Older employees with certain conditions are more likely to incur higher premiums. However, younger employees with diseases will not necessarily have higher premiums than their peers of the same age who are perfectly healthy. For example, a diabetic employee in their 20s will not have a higher premium than a peer without diabetes if the two of them are roughly the same age.
Remember: the ACA does not allow you to deny coverage for qualifying employees just because they have a pre-existing condition. If you want to provide group health insurance, you’ll need to make sure you can do it for all your qualifying employees. Make sure you consider this when choosing a tier for your group coverage so that you know you’ll be able to afford it. Learn as much as you reasonably can about your employees, and study the plans in each tier carefully. Such knowledge will help you choose a plan that keeps your workers happy without incurring untenable expenses.