Small group Health InsuranceKleingruppen health insurance
Principles of group coverage
Purchasing insurance for your small company (group insurance) has different regulations than purchasing only for yourself or your loved ones (individual insurance). The following explains the basic principles of group cover. Which is group cover? The group insurance relates to a unique insurance contract drawn up for a group (typically a transaction with staff, although there are other types of groups that can receive cover) which will cover all entitled staff and sometimes their dependants.
On the other comparatively, personal health care is a unique insurance contract granted to a specific member of the public or a specific member of the household. For groups such as small enterprises, the insurance company sets a pricing on the basis of a set of risk drivers spread across the group, using general information about members of the group, such as ages or sex.
Insurance companies are legally obliged to insure small groups. Do I need insurance? Whilst there is no legislation that obliges small businesses proprietors to make health insurance available, the Affordable Care Act makes essential changes that small businesses proprietors should be mindful of when they decide whether or not to buy insurance for their employees. What's more, the Act makes it easier for small businesses proprietors to take advantage of the benefits of health insurance.
When you decide to take out cover, there are rules you must comply with - the most important of which are explained on this page. Although large corporations face fines if they do not cover under the Affordable Care Act, small corporations with less than 50 full-time equivalents will not be punished if they do not do.
When you have at least 50 full-time-equivalent staff but do not get an individually credited bonus or a reduction in costs (both income-dependent), there is no punishment - whether you provide health insurance or not. Does your company qualify for group cover? According to Swiss legislation, small businesses are covered by group insurance if they decide to buy, regardless of the employee's state of health.
Small employer" is a company with 2 to 50 full-time staff. Usually proprietors are considered as workers, so individual enterprises with one worker usually belong to this group, as do those without (by default, twinning has two or more partners). A number of states classify the self-employed as "groups of one person" and demand that insurance companies provide them with cover in the small group insurance mart.
Whose cover is it? As a general practice, if an employers provides group health insurance for all full-time workers, the employers must provide insurance for all full-time workers. Employers have the possibility to provide insurance to part-time workers (defined as people who work less than 30 workinghours per week).
Employers offering cover to part-time workers must offer cover to all of them. Regardless of the state of health of the staff, these regulations shall be applicable. This means that any qualifying co-worker cannot be refused cover due to past health issues known as pre-existing medical conditions. Furthermore, relatives of entitled staff are generally insured under a Group policy.
Relatives can only register for cover if the relevant member of staff has registered. The Affordable Care Act requires group insurance policies to cover adults up to the ages of 26. For more information on admission regulations, see "Authorized Staff and Dependants". Certain employer who opt to provide cover opt for payment of the full bonus, while others demand that workers do so.
In considering what part of the premiums should be paid, the employer should be conscious that the Affordable Care Act provides small companies with small company income taxes to cover the costs of insurance. Small health care companies' income taxes have been available since fiscal year 2010, with significant changes in 2014.
In order to receive a two-year income deduction of up to 50% of award spending, small entrepreneurs must contribute at least half of employees' health awards and have fewer than 25 full-time equivalents earning an annual mean of $50,000 or less. If you are eligible for the small company income and how it is computed, see "Small company income taxes".