In case you’re in need of NY small group health insurance, you’ll be pleased to know that you have the opportunity to enroll during the annual Federal Open Enrollment Period (FOE) for small businesses, which occurs between November 15 and December 15 for December 1st and January 1 effective dates. This is particularly beneficial for new groups or those who previously couldn’t meet participation requirements. Not only that, these groups will have the option to renew through FOE in the future, eliminating concerns about parity and audits! Apply by November 15th for a December 1st start date, and by December 15th for a January 1st start date.
Details About the Federal Open Enrollment Period
Ordinarily, you’d need 60 – 75% of your employees to opt into a group health insurance plan, but during the FOE period, this requirement is lifted, allowing you to sign up even if only one person is covered.
Reasons Why the 2024 Federal Open Enrollment Period for small businesses is significant
Staying within the small business FOE window exempts you from the usual participation requirements for small groups. This means that even with a group of 20 employees, only 1 employee enrolling could make you eligible. This is excellent news for businesses that want to offer coverage to their employees and previously couldn’t due to participation requirements.
Comparing Small Business Health Insurance with Individual Health Insurance
Small business health insurance can be a more cost-effective option for both employers and employees. According to the eHealth Small Business Health Insurance Report, small business health plans have lower average costs per person compared to individual market coverage. Moreover, contributions made by employees and employers towards their share of health insurance premiums can also be tax-deductible, making small group plans an even more competitive choice.
Benefits of Employers Offering Health Insurance Coverage to Employees
Overall, the primary reason cited by small business owners for offering health insurance to their employees was the strategic hiring and recruiting advantage provided by group health insurance coverage. These advantages include:
- The provision of medical benefits helps attract the best employees to work for you.
- Providing benefits in this tight labor market helps distinguish you from the competition and retain qualified workers.
- Healthy employees are more productive and less likely to be absent due to illness.
- Contributions towards employee health coverage are considered deductible business expenses.
- Employees are unable to purchase small group health plans independently.
Maximizing the FOE period and enrolling during this time
Prior to the FOE period, you’ll need to conduct research on plan options, provider lists, and carriers. You can book a complimentary phone or online zoom consultation with us so we can provide you with rates and options for all downstate NY carriers before or during the FOE period.
Then, you’ll need to apply by November 15 for a December 1 start date, and December 15 for a January 1 start date with the carrier of your choice. We’ll submit your applications with the carrier and secure your FOE submission date.
One thing to bear in mind is that the owner and/or the owner’s spouse cannot be the only individuals to enroll in the plan, even during the FOE period. For further exceptions and explanations regarding this issue of Owner Only enrollment, please refer to this article.
