Small Business Insurance

With all the changes in health care, a lot of small businesses can now qualify for small business group insurance.   

During certain times of the year, Texas insurers allow us to offer a Participation and Contribution Holiday.  This “Holiday” will allow us to offer small business with less than 50 employees a group policy without the normal participation requirement of 75% employee and at least 50% of the premiums paid by the employer.   As long as you meet the General Qualifications, and you have at least one w-2 employee, we could possibly cover just two people in the company.

General Qualifications:
1. Must have at least 2 employees and no more than 50.
2.  Must be able to show Proof of business to include :
• Most current quarterly wage report from the Texas Workforce Commission (TWC)
– OR – All pages of any of the following documents filed with the state:
• Articles of incorporation
• Articles of organization
• Certificate of organization
• Certificate of limited partnership
• Limited liability company organizational documents
Sole Proprietors may need to submit additional documents such as:
• Profit or Loss from business (IRS Form-Schedule C)
• Net Profit From Business (IRS From-Schedule C-EZ)
• Self-Employment Tax Schedule SE (IRS Form-Schedule SE)
3.  Must be able to show proof of wages:
• The quarterly wage report from the TWC
– OR –
• The most recent quarterly payroll reports, which must include the company name, and show the number of employees for each month in the prior quarter (at least three months)
– OR
• W-2s for existing employees, or W-4s for new hires
• When a new hire is acquired to establish two eligible employees, 30 days of payroll is required for the new employee
• 1099 forms are an acceptable proof of wages for contract employees
– Groups must have 1 eligible enrolling employee prior to offering coverage to a 1099 employee
– If the employer offers coverage to 1099 employees, these employees would follow the same eligibility requirements as W2 employees

Additional requirements may need to be met if the business is a sole-proprietor or where all employees are owner/operators.