Small business owners will have to wait at least until 2015 before they can offer a choice of health care plans to their employees.
In the latest news on the implementation of the Affordable Care Act, the administration announced they would be unable to meet the deadlines outline in the ACA.
The ACA calls for a new insurance marketplace specifically for small businesses to be set up next year. The goal was to provide workers with a choice of health plans. However, instead they will only have one option- whichever one their employer chooses. This option is already available to many big businesses.
The administration cited “operational challenges” as a reason for the delay. There has also been concern from companies, health plans and brokers wouldn’t be able to adjust to the new marketplace in time.
These changes will only affect the 33 states where the federal government will be running insurance markets. They will delay the deadline requirement for other states as well.
The goal of the small business exchange is for business owners to be able to offer employees the choice of qualified health plans from several insurers, as many larger companies can. Having them all in the insurance exchange will also consolidate billing for business owners.
Businesses with up to 100 employees will be able to buy insurance in the exchanges, but in 2014-15, states can limit participation to businesses with 50 or fewer employees.
Sinclair Risk & Financial Management works with companies of all sizes to design and implement Wallingford CT Group Benefits Medical options that rethink the traditional way of offering benefits and meet the financial needs of employers while also addressing the choices and flexibility employees want. Contact us today for more information (877) 602-2305.