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Health Care Reform:

Health Insurance & Affordable Care Act

Health Care Marketplace for Small Businesses: FAQ

I already provide insurance for the 24 employees of my art supply company. Can I keep offering the plans we have now?

Yes, you can continue to offer your current health plans to your employees. These plans won't need to offer some of the new benefits that are required by the health reform law if they are "grandfathered." Your company's plans may be considered "grandfathered" if they existed on March 23, 2010, and have not substantially changed.

However, there are situations that could make the health plan you offer lose its "grandfathered" status. For example, if the plan makes major changes, such as significantly cutting benefits or raising the premium or cost sharing, it will lose its "grandfathered" status.

I'm on the fence about whether I should provide insurance for the employees of my small printing shop or let them buy it on their own. Why should I offer it?

Here are some benefits of offering health insurance to your employees:

  • It can help you attract and keep good workers who might otherwise go to a competitor who offers health insurance.
  • Health coverage can help keep your workers healthier and more productive.
  • The amount you contribute to your workers’ health insurance is not included in their taxable income.


Will I be hurting my employees if I don't offer health insurance? Should I let them buy it on their own?

Here are some reasons for not offering health insurance to your employees:

  • Lower-income workers might qualify for subsidies available only to those who buy individual health plans through state-based insurance markets.
  • When you offer family coverage, dependents who could find cheaper policies in the individual exchange are often disqualified from taking advantage of tax credits.



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