Group Insurance

You can find information on Small Group Health Insurance, also known as Small Business Insurance. We serve small business owners like you, by connecting you with multiple healthcare providers to obtain the best small business health insurance quotes, group health insurance quotes and self employed health insurance quotes.

Small Group Insurance Information

When shopping for group health insurance for your California business, you will find that you have an overwhelmingly abundance of options available. That’s why you need Medical Plans - California We offer personalized solutions to your health care needs and goals. Whether you have a small group of a minimum of 2 employees or a large group of over 100 employees, we are here to lend assistance and full support. Our team of Specialists, will assess your needs, work with you and\or your Benefits Coordinator or Human Resource Manager to find the right choice of plans to meet your business needs and budget. We don’t just offer one product or one company. We offer group health insurance plans through some of the largest health insurance companies in California.

Small Group or Large Group Tax Penalties for 2015

In California beginning in 2015, there are different rules for small group verses large group as it is defined in the Affordable Care Act and whether tax penalties apply. An employer with less than 50 Full-time equivalent employees will be considered a small group and not be subject the health insurance mandate therefore not subject to a penalty, if they elect to not offer health insurance to their employees. However, the employee will still be required to obtain health insurance as a required by law in order to avoid a tax penalty of $95 or 1% of his/her income whichever is greater.

If an employer has 50 or more full-time/full-time equivalent employees, they are considered a large group and may be subject to a tax penalty if the employer does not offer coverage to their employees and their dependents or that does not meet the minimum essential coverage requirements. If one single full time employee/full-time equivalent has a household income between 100% and 400% of the Federal Poverty Level and is able to qualify and receive a premium tax credit by purchasing coverage through the health insurance exchange, the employer will be imposed at $2,000 tax penalty for each of their full time employees over the first 30 full time employees. These tax penalties are assessed monthly.

If a large group employer has 50 or more full-time/full-time equivalent employees, that offers coverage but does not meet the definition of affordability, they can also be subject to a tax penalty. Affordability is the employee's cost for self-only coverage that must not exceed 9.5% of their household income. This tax penalty is $3,000 for each of the full time employees over the first 30 full time employees. These tax penalties are assessed monthly. This tax penalty is triggered if just one full time/full-time equivalent employee obtains coverage through the health insurance exchange.

Please note that a full-time employee is defined as an employee who works an average of 30 hours per week or 130 service hours that includes vacation, holiday, illness, jury duty, military duty etc. each month. A full-time equivalent employee is two or more part time employees where the combined hours per week add up to the equivalence of one full-time employee (ex: employee 1 works 18 hours per week and employee 2 works 12 hours per week). These calculations only determine who is considered a small group or large group. They are not to be used to determine tax penalties or premiums.

Since we are in the midst of healthcare reform and there are many new laws that apply, it’s important to enlist in the services that we offer by those who are qualified to educate you about the changes and how they will affect you and your business. There may be tax credits for those employers who choose to offer health insurance to their employees and there could be tax penalties for those who choose not to offer health insurance. Time is money! Let us assist you with what we do best, so that you can grow your business!

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