IN Small Business Health Insurance Plans
Indiana Small Business Health Insurance Plans 2022. The following is an overview of the rules that govern small group health insurance plans in the State of Indiana.
The information that is discussed below includes the laws that have been mandated by the Affordable Care Act (ACA or "Obamacare"), as well as the laws that are required by Indiana State government.
If you own and operate a IN small business and you already offer small group health insurance or you're thinking about offering small group health insurance - this guide can help you better understand the regulations, requirements and available Indiana small business health insurance plans available.
Learn how to get Indiana small business health insurance plans for 1 to 50 employees. The best small business health insurance providers in IN offer affordable rates, flexible coverage options and access to a large network of medical providers.
Below are some answers to commonly asked IN small business health insurance plan questions:
- How Much Does Indiana Small Business Health Insurance Cost?
- What Are The Small Business Health Insurance Regulations In Indiana?
- Does Indiana Participate In The Affordable Care Act?
- What Are The Affordable Care Act Requirements For Indiana Small Businesses?
- How Are IN Health Insurance Premiums Are Determined?
- What Types Of Health Insurance Plans Are Available For Indiana Small Businesses?
How Much Does Indiana Small Business Health Insurance Cost?
The average price of a standard Indiana small business health insurance policy ranges from around $583 to over $1706 per employee per month based on; single or family, location, coverages offered, deductibles and more.
What Are The Small Business Health Insurance Regulations In Indiana?
In the State of Indiana, health insurance companies are required to sell small business health insurance policies to any small business. According to state law, small businesses must legally be offered the same health insurance policies that other small businesses in Indiana are offered.
In order to be eligible for a policy, small business owners must employ between 2 and 50 employees.
Additionally, according to Indiana State law, in order to qualify for small business health insurance, employees of a small business must meet a minimum level of participation. That is, a certain percentage of employees must purchase a policy, and that percentage is dictated by the health insurance company, otherwise the policy can be terminated.
Moreover, Indiana health insurance companies are legally allowed to request employers pay a specific amount of their employees' premiums. If both of these requirements are met, health insurance companies in Indiana must sell health insurance to all small businesses that apply.
The cost of Indiana small business health insurance plans are slightly limited. For example, the price can fluctuate according to the health status, age, gender, and health risk of the group that will be insured. Lastly, like with any other health insurance policy, illness cannot be used as grounds to terminate the health insurance policy of an Indiana small business.
IN residents can find information on the ACA here: IN Affordable Care Act portal.
Does Indiana Participate In The Affordable Care Act?
In 2010, the Affordable Care Act (ACA or "ObamaCare") was passed by the United States Congress and was signed into law by Obama. Following its passage, provisions of the law have continued to be phased in, and as of January 1, 2014, the majority of American citizens and legal residents of the United States are required, by law, to have qualifying health care coverage.
If they fail to have coverage, they are responsible for paying an annual tax penalty for each month they aren't insured, which is known as the "individual mandate".
The cost of the penalty for failure to have qualifying coverage is $95 per adult and $47.50 per child, or 1% of your total taxable income; whichever amount is higher - as much as $285 per family. In 2017, the penalty increased, and has continued to increase thereafter.
Qualifying Exemptions For The Individual Mandate
Individuals who meet one of the following are exempt from the individual mandate and the associated tax penalties in IN:
- Illegal aliens
- Jailed individuals
- Religious objections
- The cost of health insurance coverage is higher than 8% of your household income
- Those who aren't covered for less than three months during the calendar year
- Those who have hardship waivers
- Your income level is blow the 100% poverty level
What Are The Affordable Care Act Requirements For Indiana Small Businesses?
If you're a small business owner in Indiana, you must provide your employees with insurance. This is a requirement that was put into place by the Affordable Care Act.
Referred to as the Employer Shared Responsibility provision, all employers must offer their employees at least one of the ACA-compliant Indiana small business health insurance plans, otherwise then can face fines of up to $2,000 per employee.
Indiana small business owners can purchase coverage for their employees through the state's Small Health Option Program (SHOP) exchange, or from a private insurance agent or broker.
Affordable Care Act Standardized Essential Health Benefits
As per the ACA, all qualifying health insurance plans must offer 10 standardized essential benefits.
Depending on the state, additional benefits may also be required. The 10 ACA standardized essential benefits are as follows:
- Ambulatory patient services (medical care that is offered without being admitted to a hospital)
- Emergency services
- Hospitalizations, such as overnight stays and surgical procedures
- Lab services
- Mental health and substance abuse disorder services, including behavioral health treatments, such as psychotherapy and counseling
- Pediatric health care services, including vision and oral care; however, adult vision and dental coverage aren't essential health benefits under ACA
- Pregnancy, maternity, and newborn care, including before and after birth
- Prescription pharmaceuticals
- Preventative and wellness services, as well as management for chronic diseases
- Rehabilitative and habilitative services and devices, including services and devices for injuries, disabilities, and chronic health conditions
Additional Health Benefits Mandated In Indiana
In addition to the standardized essential health benefits that are required under the ACA, Indiana law requires Indiana small businesses health insurance policies to offer additional benefits. These additional benefits include:
- Breast reconstructive surgery post-mastectomy, if mastectomy is covered
- Chemotherapy parity, both oral and intravenous, clinical trials
- Diabetes care management, including treatments, supplies, and equipment
- Durable medical equipment, including prosthetics and orthotic devices
- Non-preferred brand drugs, including non-formulary drugs and devices
- Off-label prescription pharmaceutical drugs
Standardized Indiana Small Business Health Insurance Plans
In order to make it easier to compare costs and benefits, the Affordable Care Act has designated all qualifying Indiana small business health insurance plans to be one of four metal colors, including Bronze, Silver, Gold, and Platinum.
Each of these designations is based on the average amount of health care costs that the plan will cover, which is illustrates at percentages of how much the insurance company will cover for health care, as well as the amount the insured will have to pay out-of-pocket.
All insurance companies that are participating in the federal or state health care exchange program must offer at least the Silver and Gold Indiana small business health insurance plans.
All four of the metal plans have a shared maximum out-of-pocked amount that the insured can be charged during any calendar year. The following table illustrates this information:
|Metal Plan||Insurer Pays / Insured Pays|
|Bronze||60% / 40%|
|Silver||70% / 30%|
|Gold||80% / 20%|
|Platinum||90% / 10%|
As per the ACA, individuals cannot be denied coverage or charged higher premiums because of their past health history, or their gender.
Additionally, look-back and waiting periods cannot be imposed. Additionally, policies are effective when they are issued and all coverage is renewable if the individual chooses to renew the policy.
However, plans can be canceled if the individual fails to pay their premiums or commits fraud.
How Are IN Health Insurance Premiums Determined?
A premium is the amount the insured must pay out-of-pocket in order to maintain their health insurance policy. The premiums that are charged for any of the qualifying metal plans can be based on the following:
- Age of the individual
- Whether or not the individual uses tobacco
- Where the individual lives, based on a rating area
- The number of family members who will be enrolling
What Types Of Health Insurance Plans Are Available For Indiana Small Businesses?
While there are several types of health insurance plans to choose from, the following plans are the most popular among IN small business owners:
Health Maintenance Organization - Simply known as an "HMO", this type of plan offers a variety of health-related services via a network of health care providers and hospitals that exclusively contract with the HMO, or who agree to offer their services to members of the HMO. Employees who participate in this type of plan usually have to choose a primary care physician (PCP), and receive most of their care from this physician. If a specialist is needed, the PCP will recommend one that is affiliated with the HMO.
Preferred Provider Organization - More commonly referred to simply as "PPO", this type of health insurance plan is the most common among Indiana small business owners. The insurance company provides a preferred list of health care providers, and employees must receive their medical care from the doctors and hospitals on that list for their claims to be paid at the highest level possible - but they also have the flexibility to see any other provider anywhere in or out of state.
Point-of-Service Plan - Known as a (POS), this type of health insurance plan provides access to health care services at a lower overall cost, but with fewer choices. Members can access care from in-network or out-of-network providers and facilities, but coverage is better when you stay in-network. POS plans may vary, but generally, plans are considered a blend of HMO and PPO plans - offering more flexibility than HMOs, but less than PPOs.
Health Savings Account - A health savings account (HSA) is a special type of bank account that allows participants in the insurance plan to save money that can be used specifically for the medical care they require in the future. HSA-qualified health insurance plans are usually PPO plans that are specifically designed to be used with an HSA.
Indemnity Health Insurance - This type of health insurance plan allows members to control their own health care and to visit any doctor or hospital they choose. The insurance company would then pay a pre-determined percentage of the total charges for the services that were rendered. Employees may have to pay for some types of services up-front and then they can submit a request for reimbursement with the insurance company.
Indiana Small Business Health Insurance Plans - The Bottom Line
We strongly advise business owners to speak with a CPA and a IN health insurance broker before jumping in and getting any type of the Indiana small business health insurance plans available.
Make sure that you know exactly what each option can do for your company and the potential drawbacks associated with it.
Indiana Economic Data And Business Insurance Regulations
There are many factors that lead to the success of a business; top on the list of importance is location. In order to thrive, it's essential for a business to be located in an area that offers a favorable economic climate. Regardless of how high-quality the products and services a company offers, if isn't located in an area that will benefit from those products and services, success is going to be a struggle. Furthermore, it's important for business owners to know what type of commercial insurance they are required to carry in the state they are operating in.
If you are thinking about starting a business in Indiana or expanding your existing company to the state, you'll want to familiarize yourself with its economics and commercial insurance requirements before you set up shop. Below, we provide an overview of economic trends and types of insurance coverage business owners need in The Hoosier State.
Economic Trends For Indiana Business Owners
As of January, 2022, the unemployment rate in the state of Indiana was 3.5 percent; .4 percent lower than the national average, which was 3.9 percent at the start of the year. The unemployment rate in The Hoosier State has been holding steady for more than five years, as it has been below the national average since 2014. It's expected that this rate will continue to be the norm for 2022 and the next few years.
All areas throughout the state of Indiana are favorable for business owners, as both urban and suburban areas offer suitable conditions. According to economists, the best areas to start a business in The Hoosier State include:
Several industries thrive in Indiana, but industries that are seeing the most growth in the state include:
- Auto manufacturing
- Information technology
- Life sciences
- Research and design
- Wholesale and retail services
Commercial Insurance Requirements In Indiana
The Indiana Department of Insurance (IDOI) regulates insurance in Indiana. Commercial insurance is vital for the success of a business, as it not only protects the owners and operators of the organization, but it also protects the customers and vendors that a company works with, as well as the employees that they rely on.
Commercial insurance provides coverage for certain risks that businesses face, ensuring that third-parties and employees have access to the funds needed in the event of an accident; it also prevents business owners from having to pay for damages and legal expenses in the event that a catastrophe occurs.
In Indiana, business owners in all industries are required to carry workers' compensation insurance. Depending on the nature of the industry, other forms of coverage may be required. For example, organizations that sell and distribute alcohol must carry liquor liability coverage, and companies that use vehicles in a work-related capacity must invest in commercial auto insurance.
The specific amount of coverage required for these policies depends on several factors, such as the size of the business, how many people it employs, and the specific nature of the operation.
Request a free Indiana small business health insurance plans quote in these other IN cities: Anderson, Angola, Auburn, Avon, Bargersville, Bedford, Beech Grove, Bloomington, Bluffton, Brazil, Brownsburg, Carmel, Cedar Lake, Charlestown, Chesterton, Clarksville, Columbia City, Columbus, Connersville, Crawfordsville, Crown Point, Danville, Dyer, East Chicago, Elkhart, Elwood, Evansville, Fishers, Fort Wayne, Frankfort, Franklin, Garrett, Gary, Goshen, Granger, Greencastle, Greenfield, Greensburg, Greenwood, Griffith, Hammond, Highland, Hobart, Huntertown, Huntington, Indianapolis, Jasper, Jeffersonville, Kendallville, Kokomo, La Porte, Lafayette, Lake Station, Lakes of the Four Seasons, Lawrence, Lebanon, Logansport, Lowell and Decatur, Madison, Marion, Martinsville, Merrillville, Michigan City, Mishawaka, Mooresville, Muncie, Munster, Nappanee, New Albany, New Castle, New Haven, Noblesville, North Vernon, Notre Dame, Peru, Plainfield, Plymouth, Portage, Princeton, Richmond, Schererville, Scottsburg, Sellersburg, Seymour, Shelbyville, South Bend, Speedway, St. John, Tell City, Terre Haute, Valparaiso, Vincennes, Wabash, Warsaw, Washington, West Lafayette, Westfield, Westville, Yorktown, Zionsville and all other IN cities & Indiana counties near me in The Hoosier State.
Also find IN local small businesses by General Liability Class Code and learn about Indiana small business insurance requirements for general liability, business property, commercial auto & workers compensation including IN business insurance costs. Call us (317) 559-0759.
Small Business Health Insurance Plans By State
You can find more state specific small business health insurance information including requirments and coverage by clicking on the state below:
- North Carolina
- New Hampshire
- New Jersey
- New Mexico
- New York
- North Dakota
- Rhode Island
- South Carolina
- South Dakota
- Washington D.C.
- West Virginia