Health Insurance for Small Business Owners

Luxury or Good Business Sense? Health Insurance for Small Business Owners

If you own a small business, then you might be thinking that health insurance is a luxury you simply can't afford. But consider this: Under The Institute of Medicine, a three year study revealed that working-age Americans without health insurance are more likely to receive too little medical care and receive it too late. They tend to receive poor quality of health care when they are in the hospital, even for acute situations like car accidents. If the concern for the good health for yourself and employees isn't sufficient to take quick action, then maybe you'd be convinced by knowing that 75 % of small business owners reported that the availability of health insurance helped in recruitment of employees and 78% said the availability of health insurance decreased employee turnover according to a 2002 survey conducted by Blue Cross and Blue Shield Association Analysis, the Employee Benefit Research Institute and the Consumer Health Education Council. Clearly, health insurance for small business owners makes good business sense.

Benefits of Acquiring Health Insurance for Small Business Owners

As the small business owner, there are tax benefits in offering health insurance. In general, small business owners can deduct 100% of premium contributions of themselves, employees, spouses or their dependents. Small businesses are most often defined as 2 – 20 employees. Needless to say, health insurance for small business owners is a complex matter and does not come cheap so it's best to deal with a tax accountant and a health insurance group licensed to operate in your state. If you don't spend some dollar up front for health insurance coverage, just keep in mind that tax dollars paid for an estimated 85% of the roughly health care for the uninsured in 2001. So just know it's coming out of your pocket in taxes or out of your business as a tax-deductible business expense.

Health Insurance Nexus | US : The US Health Insurance Resource, conceptualized in Dec, 2004, is an online portal which provides up-to-date, pertinent information about health insurance in US..