Small Business Health Insurance Tennessee Options and Benefits

As a small business owner in Tennessee, navigating the world of health insurance can be overwhelming. Fortunately, there are several options available to you and your employees.

In Tennessee, small businesses can offer health insurance plans that meet the Affordable Care Act (ACA) requirements. These plans must cover essential health benefits, including preventive care, hospitalization, and prescription medication.

Tennessee has a high rate of uninsured individuals, with 12.3% of the population lacking health insurance in 2020. Offering health insurance to your employees can be a significant factor in attracting and retaining top talent.

Some popular health insurance options for small businesses in Tennessee include group plans, individual plans, and short-term plans.

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If you own a small business in Tennessee, you're in luck - you can purchase qualifying coverage for your employees through SHOP, the Small Business Health Option Program, or through a private broker or insurance agent.

Small businesses with fewer than 50 workers don't have to provide health insurance, but many still want to offer it to their employees.

You can get help finding the right plan through the ACA SHOP, which provides resources, plans, and support. Your Taylor Benefits Insurance consultant can guide you through the options.

Tax credits are available for some businesses with fewer than 25 workers, but there are specific requirements that must be met, including a lower-wage workforce and a certain percentage of the premium cost paid by the company.

Companies in Tennessee compete for workers using pay and benefits packages, and employees evaluate the benefits in addition to the pay when deciding whether to accept an offer.

A good benefits package often starts with health insurance, especially for companies subject to the ACA mandate. High-quality health coverage is a critical element of a benefits package, and offering choices will help attract potential workers.

Here are some other benefits that workers want:

A small business group is an organization with less than 50 employees, and an organization with at least one employee can still qualify for a small business health insurance plan.

In Tennessee, small business health insurance options are limited, with less than half of employees offered coverage. Traditional group health insurance, health reimbursement arrangements (HRAs), health stipends, and ancillary benefits like dental and vision insurance are available.

There are several types of health insurance options for small businesses, including traditional group health insurance, HRAs, and health stipends. These options can help owners make informed decisions that benefit both their business and employees.

Here are some common types of supplemental health benefits offered by employers:

You can have more control over your healthcare coverage by choosing a custom group plan. At Taylor Benefits Insurance, they offer custom group healthcare insurance plans that can beat out comparative plans on the market.

Their custom plans are designed to meet the unique needs of each client. Whether you're looking to improve your current plan or start from scratch, they can help you create a better healthcare solution.

A unique perspective: Benefits of Group Health Insurance

With a custom group plan, you have the power to make changes and adjustments as needed. This can be especially helpful if you have a unique situation or specific healthcare needs.

You can get an instant quote for a Nashville Group Health Insurance & Employee Benefit Plans by clicking the quote button.

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Benefits in Nashville are a top priority for employees and job candidates alike. Companies compete for workers using pay and benefits packages, and a good package often starts with health insurance, especially for companies subject to the ACA mandate.

Health coverage is one of the critical elements of a benefits package, and offering choices will help attract potential workers. High-quality health coverage is a must-have for many employees, and Nashville companies are taking notice.

In addition to health insurance, workers usually prioritize paid time off for illness, vacation, and holidays. This is a clear expectation for many employees, and Nashville companies are responding by offering generous PTO policies.

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Other benefits that workers want include:

Nashville companies are also offering voluntary benefits, such as pet insurance, financial counseling, critical illness, and accident insurance, and gym membership. These benefits are not required by law, but they can be a great way to attract and retain top talent.

For small businesses, offering health insurance can be a challenge. However, many small companies want to insure their employees and sometimes pay more of the cost than large businesses do. If you're a small business owner in Nashville, you may be eligible for tax credits through the ACA SHOP program.

Providing health insurance to employees is a great way to attract and retain top talent. According to our 2024 Employee Benefits Survey, 81% of employees said an employer’s benefits package is an important factor in whether they accept a job with the organization.

Health insurance is the most sought-after employee benefit, and offering it can provide tax advantages. The average annual premium in the U.S. amounted to $8,435 for single coverage and $23,968 for family coverage.

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Offering health benefits can also improve wellness and productivity, as employees are more likely to prioritize their health when they have access to quality care. In fact, 92% of employees rated health benefits as important.

There are several options available to small businesses looking to provide quality healthcare coverage to their workers, including traditional group health insurance, Health Reimbursement Arrangements (HRAs), and Health Stipends.

Here are some of the most common types of supplemental health benefits, including critical illness insurance, vision insurance, dental coverage, Health Savings Accounts (HSAs), and Flexible Spending Accounts (FSAs).

Tennessee mandates certain benefits, including clinical trials, congenital anomaly coverage, diabetes care management, hearing aids for children, reconstructive surgery following mastectomy, and off-label prescription drugs.

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Health insurance plans can be expensive, but the cost depends on the type of plan and the insurance company. Group health insurance plans typically cost less than individual plans.

Todd Taylor, a seasoned benefits insurance broker, notes that employers may pay less for health insurance if the premiums are split between employees and employers. This can make a big difference in the overall cost.

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The cost of health insurance varies based on factors such as age, tobacco use, and location. Your age, for example, can affect the cost of your premiums.

Here are some examples of how the cost of health insurance can vary based on different factors:

In Tennessee, the average cost of health insurance varies based on factors such as age, location, and the actuarial value of the plan. The lowest-cost premiums for each metal tier on average are:

If you're shopping for health insurance in Tennessee, you have several provider options to choose from. These plans can be purchased through private providers or providers participating in Tennessee through the federal exchange, HealthCare.gov.

One type of plan is a Preferred Provider Organization (PPO), which gives you access to a network of healthcare providers participating in your selected PPO. You don't need to select a Primary Care Physician or get a referral to see any in-network provider.

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Some PPOs require you to meet a deductible before their portion of the coverage begins. This can be a drawback for those who need immediate medical attention.

Health Maintenance Organizations (HMOs) are another option, but they typically require you to select a Primary Care Physician to coordinate your healthcare and provide referrals to specialists. This can be beneficial for those who value having a dedicated doctor.

HMOs usually charge a fixed copayment for each doctor visit and other care provided. Depending on the HMO, there may be a low deductible or no deductible in addition to the copayments.

High-Deductible Health Plans with Health Savings Accounts (HDHP w/HSAs) offer more control over your out-of-pocket expenses by offering lower monthly premiums with higher deductibles. These plans are often combined with HSAs that allow you to set aside interest-earning pretax funds or tax-deductible funds you deposit in a private account.

Flexible Spending Accounts (FSAs) are also available, allowing you to make tax-free contributions up to $2,500 per year to cover out-of-pocket healthcare expenses not covered by your insurance plan.

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Offering individual health insurance with a Health Reimbursement Arrangement (HRA) can be a cost-effective option for small businesses. This allows employers to reimburse employees for out-of-pocket medical expenses and individual health insurance premiums.

You can cut costs by not purchasing a group plan and instead provide a set monthly allowance that aligns with your budget. This can be especially beneficial for small businesses and nonprofits.

Two types of HRAs that allow you to reimburse employees for their insurance premiums are the Qualified Small Employer HRA (QSEHRA) and the Individual Coverage HRA (ICHRA). The QSEHRA is for organizations with fewer than 50 full-time employees, while the ICHRA is for organizations of all sizes.

Here are the key differences between the two:

The ICHRA offers greater flexibility and customization options, allowing you to provide your employees with a higher amount compared to a QSEHRA. This can be a cost-effective option for businesses that need to satisfy the employer mandate.

In Tennessee, small business owners can choose from various health insurance options for their employees. The open enrollment period for individuals and families is from November 1 to January 15, and during this time, 96% of individuals in Tennessee who enrolled in health plans received premium subsidies.

If you're a small business owner, you may not be aware that you can offer a defined contribution health plan like a health reimbursement arrangement (HRA) instead of a traditional group health insurance plan. This can save you money and administration time by reimbursing your employees for individual health insurance premiums.

Here are the insurers available on the individual market in Tennessee for 2024: Insurance companyNetwork typeOn- or off-exchangeBlue Cross Blue Shield of TennesseePPOOn-exchangeCigna Health and Life Insurance CompanyHMOOn-exchangeOscar Insurance CompanyEPOOn-exchangeCeltic Insurance Company/AmbetterHMO and PPOOn-exchange and off-exchangeUnitedHealthcare Insurance CompanyHMO and PPOOn-exchangeUS Health and Life/Ascension (for 2024 only)HMO and EPOOn-exchange

Ascension (US Health & Life) is ceasing coverage for 2025, but all areas in Tennessee will have at least three exchange-based health insurers offering plans.

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Small businesses in Nashville, Tennessee, with fewer than 50 employees don't have to provide health insurance, but many still want to offer it to their employees.

If you're considering offering health insurance, the ACA SHOP can provide resources, plans, and support to help you navigate the options.

A small business group is an organization with less than 50 employees, and even if you have just one employee, you can still qualify for a small business health insurance plan as long as it's not the business owner or their spouse.

To understand your plan's network of healthcare providers, look for a list of doctors, health care providers, and hospitals that the plan contracts with to provide medical care to its members.

Cost-effective and easily accessible in-network services guarantee seamless, quality healthcare, so make sure all the providers and facilities you use are in-network before making your plan selection.

Tax credits are available for some businesses with fewer than 25 workers, but there are specific requirements, including a lower-wage workforce and a certain percentage of the premium cost, so check with your specialist to see if you qualify.

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In Nashville, over 75% of companies offer group health insurance to their employees. This is a significant trend in the market.

The city has seen a 10% increase in the enrollment of group health insurance plans over the past year. This indicates a growing demand for health insurance among companies in Nashville.

The average deductible for group health insurance plans in Nashville is $1,200. This is a key consideration for companies looking to provide comprehensive health insurance to their employees.

Approximately 90% of individuals with group health insurance in Nashville have access to mental health coverage. This is a crucial benefit for employees' overall well-being.

Here are some key statistics on group health insurance in Nashville:

In Tennessee, individuals and families can purchase health insurance through the federal Health Insurance Marketplace at HealthCare.gov. Six insurers provide health plans for 2024, with plan availability differing across the state.

You can choose from a variety of health insurance plans, including Preferred Provider Organizations (PPOs), Health Maintenance Organizations (HMOs), High-Deductible Health Plans with Health Savings Accounts (HDHP w/HSAs), and Flexible Spending Accounts (FSAs). These plans offer different levels of coverage and cost-sharing features.

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There are four metal tiers to choose from: Bronze, Silver, Gold, and Platinum. Bronze plans have higher out-of-pocket costs, while Platinum plans have lower out-of-pocket costs. Here's a breakdown of the metal tiers:

The Affordable Care Act created a discount system called "premium tax credit" that helps people purchase health insurance at a discounted rate. To receive a premium tax credit, individuals must be U.S. citizens or lawfully present in the United States, and their household income must be between 100% and 400% of the federal poverty level.

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All qualifying health plans must offer the 10 standardized essential benefits, including maternity and newborn care, mental health and substance use disorder services, and prescription drugs, among others.

Tennessee requires private providers to offer additional mandated benefits beyond the ACA requirements.

Some of the additional benefits mandated in Tennessee include clinical trials for all plans except individual plans, congenital anomaly coverage for all plans, and diabetes care management for all plans.

The state also requires hearing aids for children 18 and under to be covered by all plans.

Reconstructive surgery following mastectomy and off-label prescription drug use are also mandated benefits in Tennessee.

Here's a breakdown of the metal plans and how they divide the cost between the insurer and the individual: