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How immigrants are being affected by the health care industry

Healthcare for immigrants

Health care for immigrants continues to be a unique challenge as we work to bring comprehensive health care options to immigrants throughout the country. 

Getting comprehensive health care options to immigrants throughout the country is a topic that is currently being addressed. Here are two key points regarding immigrant healthcare that we’ll be addressing in this article:

  • The impacts of Covid on the health care industry for immigrants

  • What the agenda is for immigration health care

According to the United Nations, in 2019, the United States had the largest number of immigrants of any country alongside Germany and Saudi Arabia.

One article addressed the issues of giving more health care options to immigrants in Connecticut. Undocumented immigrants don’t have access to state insurance. For one worker, not having proper health care means that he could potentially become sicker by having to wait in order to receive the treatment he needs (emergency dialysis).

Source: Connecticut immigrants deserve health insurance

The impacts of Covid on the health care industry for immigrants

 

Access to healthcare is especially vital now, as undocumented immigrants have been disproportionately impacted by the COVID-19 pandemic.

Approximately 75 percent of U.S. undocumented immigrants are Latino, a group which dies or falls ill from COVID-19 at much higher rates than the general population. This is due to medical barriers, such as shortages of testing in communities of color, as well as increased exposure to COVID-19 at work.

Regarding the immigrant communities in California, a study was released by the UCLA Center for Health Policy Research. The study, based on data from the center’s 2019 California Health Interview Survey, shows that 1 in 4 low-income immigrant adults in the state have avoided accessing public assistance like health, food or housing programs at some point for fear of jeopardizing their own or a family member’s immigration status.

More than half of the individuals who participated in the study indicated they had shunned these programs in the time between the the proposed rule changes in 2018 and their implementation in 2020.

Immigrants’ avoidance of these public programs was linked to worse access to health care and higher food insecurity, the researchers say.

The researchers found that among California immigrants who had reported avoiding programs over the past year, 37 percent were uninsured and 54 percent were food insecure, compared with 16 percent and 36 percent of immigrants who didn’t avoid the programs.

The study data adds to the evidence of how the public charge rule, in particular, had a negative impact on immigrant communities and forced individuals to make tough choices about their health and well-being — choices made even more difficult by widespread uncertainty about which public assistance programs were included, who the rule applied to and how it might affect citizenship applications.

Read more about how immigration policies can harm health here.

The 2021 plan to address immigration health care

 

 Some states wisely chose to protect the immigrant community by using Emergency Medicaid funds to cover expenses associated with COVID-19 testing and treatment for residents who were excluded from Medicaid based on their immigration status. But more needs to be done.

Here are some other bills that are being passed throughout the country that will support better health care for immigrants:

  • IL: Immigrants over 65 can now receive health care benefits regardless of their immigration status. (Source)

  • MA: Immigrants who can’t show proof of lawful presence in the U.S. could apply for a license under the law to get to their workplaces and access businesses. (Source)

  • OR: Oregon lawmakers are pursuing legislation that would help legal immigrants get health care without worrying about feeling discouraged from going to hospitals or clinics. (Source)

On another note, immigrant families that were previously separated will soon be reuniting inside the U.S. This means that parents who were deported without their children will be given the option to reenter the U.S. and be reunified with their families. This also applies to families who want to be reunified in their countries of origin.

Read more about how migrant families will soon reunite inside U.S. here.

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Small Business Health Insurance Options in California: Covered California SHOP Exchange

Covered California SHOP Exchange

California shop exchange

COVID-19 is making health care critical now more than ever. If you are a small business, do you know all the small business health insurance options available to you in California?

Bernardini & Donovan is here to help you with all your insurance needs, including any options you have to receive small business health insurance options in California via the Covered California SHOP (Small Business Health Options Program) Exchange. Appropriately educating you on the best health small business insurance options means we take into consideration all of your small business needs, from your employees to your affordability.

As a health insurance company, Bernardini & Donovan recognizes that insurance plans change just as much as client needs change. That’s why our team thoughtfully advises our clients to switch plans and sometimes companies in order to better have their needs met. We prioritize your needs…no matter where life takes you. Because every ebb and flow of life can redirect one’s insurance requirements and necessities, and we see this especially now with the unanticipated effects of COVID-19.

For this reason, the Bernardini & Donovan team will be revisiting this topic when it comes to small business health insurance options in California: the Covered California SHOP Exchange program. We will explain what benefits small businesses and employers alike can experience if they utilize the SHOP Exchange program, how the SHOP Exchange program works, and what to do if you run a small business located in California and have questions about small business health insurance options.

 

What is the Covered California SHOP Exchange and what are the benefits for small businesses. Created through the Affordable Care Act, the SHOP Exchange initially started off as a healthcare insurance option in every state. The Covered California SHOP Exchange provides two major benefits to small employers—access and administrative relief by relieving small businesses of the burden of finding and administering health plans for their employees. 

In California, small businesses that are struggling to provide health care coverage for their employees now have hope. This has been a concern for small businesses for years, but with the pandemic hitting the economy at new levels, small businesses have even more concern now when it comes to handling certain obligations that require finances, such as providing health insurance to their employees. The Covered California SHOP Exchange is beneficial because it provides a greater selection of group health insurance coverage—selections that were previously only offered to businesses with larger numbers of employees. Small business owners who are interested in joining the Covered California SHOP Exchange can do so just as long as they have less than 50 employees.

The SHOP program handles enrollment, eligibility, adds, changes, and terminations and provides small businesses with the necessary reports to integrate employee premium deductions into their payroll system. The employer writes just one check and the Covered California platform sends the premiums to each health insurance carrier.

California’s hundreds of thousands of small businesses that earn an average annual wage of less than $50,000 qualify for an additional benefit of being eligible for a 50 percent federal small-business tax credit when they purchase coverage through SHOP!

 

How the Covered California SHOP Exchange Works: Then and Now

Each participant enrolled in the Covered California SHOP Exchange completes a profile and receives a group ID. The employee of the business enters the SHOP program and they are then issued an ID of their own. In order for the business to access their plan, they are also issued a password. Once enrolled in the plan, the employee enrolls in the specific health plan that they need for themselves. Once the employee has made their selections, the employer then verifies that they work there. All information is taken care of by the SHOP program and then from there it is given over to the insurance carriers.

Some states that operate their own exchanges no longer offer SHOP coverage due to lack of insurer participation which was due, in part, to lackluster enrollment early on, as well as some changes made in 2016. Still, eleven states, including California, still use the Covered California SHOP Exchange platforms for small businesses, although some states have switched to a direct-to-carrier enrollment model, instead of maintaining an enrollment portal that small businesses can use.

Businesses that purchase SHOP coverage are eligible for a small-business health care tax credit. However, the tax credit is only available for up to two years.

The availability of the tax credit is limited if a business is in an area where there are no longer any SHOP plans available. Businesses that had a SHOP-certified plan during the first year of their two-year tax-credit eligibility window can continue to receive the tax credit for a non-SHOP plan if SHOP plans are no longer available during the second year. But businesses in areas without SHOP plans cannot newly enroll in a non-SHOP plan and claim the tax credit.

 

The Best Health Insurance Company to Help With Your Covered California Needs

 

Now, more than ever before, the issue of healthcare has been thrust into our everyday lives.

This pandemic has caused many small businesses to change their entire process; for small businesses that are still operating, having health insurance plans available to employees is critical now more than ever! But it is equally just as important to make sure that the options you are offering benefit you as a small business, as well. The SHOP program is a small business’s one-stop solution to their health insurance needs.

For a lot of people, the more you hear about the issue of healthcare, the more complicated it appears to be. With more than thirty years of experience in the health insurance field, our licensed health insurance agents are proud to have established long lasting and trusted relationships with all of the major carriers throughout California and beyond. Whether you need coverage for employees, families, individuals, temporary or short term coverage, or coverage for travel or abroad, Bernardini & Donovan Insurance Services has the answers to any questions you may have.

Here at Bernardini & Donovan, we offer additional information regarding the Covered California SHOP Exchange. If you would like assistance in determining if you are eligible or how to be a part of the SHOP program, contact us today.

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What You Need to Know About Group Health Insurance for Small Businesses (Part I)

Group Health Insurance

Group Health InsurancePurchasing group health insurance as a small business owner can be a rather intimidating task. This is especially true when you try to do it all on your own without any help. However, the process can be made a lot easier and less daunting if you let a professional agent assist you in choosing the right group health insurance plan for your small business.

In this two-part article, Bernardini & Donovan Insurance Services will break down what you need to know about group health insurance for small businesses. We’ll discuss what a small business is considered, why group health plans are important, some of the types of health insurance plans offered by small businesses, employer-sponsored health plans and things to consider, and finding an appropriate health insurance agent for you and your business.

There are a number of variables to consider when purchasing group health insurance. While there are many business insurance options available, your selection will be determined by your needs. That’s why we’re going to discuss important variables such as: determining whether your business is considered a small business or a large business; the health insurance plans available for small businesses; ideal plans based on your business; and more.

In this first part, we’ll be focusing on small businesses versus large businesses, why group health plans are important, and the types of health insurance plans offered to small businesses. In the next article, we’ll address employer-sponsored health plans (and things to consider) and how to find an appropriate health insurance agent for you and your small business.

Small-Group Employer vs. Large-Group Employer

As a small business owner, one of the most important considerations that you have to make will deal with the type of insurance that you offer to your employees. But, how do you know if your business is considered a small group employer or a large group employer?

The Affordable Care Act divided employers into two categories: small group and large group. There is a general dividing line at 50 full-time employees or equivalents, although there are some benefits specifically aimed at businesses with 25 or fewer full-time employees. A business that employs 50 or less full-time employees falls under the small group category. However, the full-time employee doesn’t necessarily have to be one individual.

A business can have as many part-time employees as it wants as long as the equivalent number does not exceed 50. In other words, an employer can have four part-time employees working ten hours a week for a total of 40 hours worked. These four people working a total of 40 hours collectively, is calculated as one employee. There can be any variation on this theme to qualify for the small group coverage as long as the sum total is no more than 50 full-time employees.

A full-time employee or equivalent is an employee who averages at least 30 hours per week or 130 hours in a calendar month. You must calculate your hourly worker’s service hours based on hours worked and hours of earned paid leave.

If you run a small business with two to 20 employees and are looking for guidance for your small business’ group health insurance, Bernardini & Donovan Insurance Services can offer the best and most cost-effective business insurance plans around. We’ll help cut through all of the confusion and unnecessary information so that you can have the peace of mind that comes with knowing that your employees are well protected in the event that something unfortunate should unexpectedly happen.

The Importance of Group Health Plans

In our healthcare perks article, the B&D team talked about how small businesses can attract talented employees through better healthcare perks. It’s no surprise that modern employees are extremely savvy about the bonuses that come with a job. Gone are the days when salary used to be the major competing factor in attracting new talent! Today, it’s as if everything is about healthcare, child care, continued education, retirement accounts, and other related perks.

This is great for both employees and employers. For employees, they can acquire more value than they could in a straight cash salary. For employers, companies can take advantage of a variety of tax incentives and breaks to provide these bonuses and remain competitive.

When it comes to establishing the ideal health insurance plan for your small business, consider how your plans benefit your employees.

  • Vision, Dental and Prescription Services. Though they may be optional, offering vision, dental and prescription services is not expensive and will go a long way towards showing employees that your business is concerned about their health. There’s also another benefit — providing vision, dental and prescription service makes it less likely that employees will go without care, damaging both their own health and their productivity. Mental health services and substance abuse services offer similar benefits.
  • Flexible Spending Accounts. Both health care flexible spending accounts and dependent care flexible spending accounts are extremely important perks for modern businesses. Employees will be able to set aside money in a tax-advantaged account, much like an IRA, to be used on both their own medical expenses and their child’s or other dependents. Many executive employees and other financially savvy employees specifically look for the flexible spending account option, as it makes more sense to them and will result in more money being acquired by them overall, as they can put tax-advantaged funds towards their medical costs.
  • Employee Health Programs. In addition to health insurance, employers can create health programs that promote good health to their employees. Many employees specifically look for these programs when they are learning about a job opportunity. Employee health programs can include everything from healthy provided snacks to an on-site gym, depending on your company’s budget.

Employers can look to their health insurance agency to find out more about what they can do to attract the best up-and-coming talent to their business.

Types of Health Insurance Plans for Small Businesses

  • Business Health Insurance Don’t: The “One Size Fits All” Plan. No two employees are the same, this has never been more true than when you begin to take their health into consideration.

Each employee (and their respective family members) will have their own unique considerations, which is why it is important to not opt for a “one size fits all” plan. Instead, engage your employees and take their feedback into consideration.

Try to find a plan that you can customize to fit the needs of the group instead of trying to force the needs of the group to work within the confines of the plan that you’ve selected after the fact.

  • Health Savings Accounts. One type of business insurance that has become increasingly popular over the last two decades is the health savings account (or HSA).

For individuals who are enrolled in an HDHP (or “high deductible health plan”) they can open a medical savings account with a number of tax advantages that they wouldn’t get from other types of plans.

Deposits into the account can be made by either the employee in question or by the employer and can be made on a pre-tax basis. The money in the account is then to be used to pay for things like medical bills and other unforeseen expenses related to their health.

One of the primary advantages is that the money continues to roll over each year and does not “expire” in the event that it goes unused for any specific period of time.

Finding Affordable Health Plans for Small Businesses: Bernardini & Donovan

When it comes to educating one’s self on group health insurance for small businesses, there’s a lot of information to consider. Remember that this is the first of a two-part article geared towards group health insurance plans. The goal is for small businesses to feel more confident when it comes to finding a service that suits them and their employees.

Just because you own a business doesn’t mean you should lose money trying to pay group health insurance for your employees. You can find the insurance coverage that works for your company’s budget while letting your employees have the health insurance program they need to stay healthy. If you want to jumpstart the process, feel free to browse the insurance products offered through Bernardini & Donovan Insurance Services.

The B&D team is here to help you find a suitable and affordable healthcare plan as a small business owner. We believe that you should find a healthcare plan that suits you and your budget, and we want to help.

Contact Bernardini & Donovan Insurance Services if you’d like guidance through the process of selecting the appropriate group health insurance for your business. We can help you make the right decision, and we have the right tools to help you find the perfect plan(s) for your employees as well as for your business.

We discussed the difference between a small-group and a large-group, the importance of group health plans, and some of the different types of health insurance plans that could be offered by small businesses. On the next blog, we’ll consider employer-sponsored health plans and how to find an appropriate health insurance agent.

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Small Business Healthcare Tax Credit

tax credit

Health Tax Credit

It’s been said once or twice before, sometimes, great things come in small packages. And in recognition of the value of your small business, we have a word of good news for you. In the upcoming tax season, you may receive some tax alleviation for merely being small. As an owner, you can count your healthcare expenses as a business expense. So, while there are a few requirements and some restrictions, you might be looking forward to a tax break next spring, thanks to the Small Business Healthcare Tax Credit.

What is the Small Business Healthcare Tax Credit?

The Small Business Healthcare Tax Credit, included in the Affordable Care Act, benefits small employers who provide health coverage to their employees. This could be worth up to 50 percent of costs paid in employees’ premiums, or 35 percent for non-profits. With this new addition, it pays to be small and to care for your employees.

Requirements to qualify: 

Generally, the only way a small business or non-profit can claim the Small Business Healthcare Tax Credit is by enrolling in the Small Business Health Options Program (SHOP). And to qualify for this program, a business must: a
  • Have fewer than 25 full-time employees
  • Pay an average salary to the employees that is less than $51,600 per year. This does not apply to the owner’s salary.
  • Pay at least 50 percent of their employees’ health insurance premiums
  • SHOP coverage is offered to all full-time employees
    • As an employer, offering this coverage to employees who are considered part-time, is optional and not required as it is for those working full-time.
The smaller your company, the bigger the credit. And the benefit is highest for companies with fewer than ten employees paid under $25,000. There are some restrictions, however.

Limitations: 

The 50 percent tax credit represents the maximum credit available to a business. However, this credit will be reduced under certain circumstances as some small employers might not qualify for the full amount. These circumstances are listed below:

  • The employer has more than ten full-time equivalent employees
  • The annual wages of the business’s full-time employees exceeds $25,800 in the years 2015 or later
  • The company’s health insurance premiums are higher than the average amount paid in premiums in their geographical area

It is also important to note that there are no tax credits for the owners of the business. This means that small businesses can not receive credit for insurance premiums paid on the owner’s behalf. “Owners†include owners of corporations, partners in partnerships, and sole proprietors. Additionally, there is no tax credit available to employees who own more than five percent of a C corporation and those who own more than two percent of an S corporation.

Flexible Credit: 

The tax credit can be applied forward or back to other tax years. So, let’s say a small business didn’t owe any money in taxes one year but did a year prior. That company would be able to apply their credit to their balance and still receive the benefits. Similarly, an employer could carry their credit forward in expectation of tax liabilities in the coming year.

While there are many incentives to offer health insurance to your employees, as a small business owner, you may feel financially unable to do so. That’s why this tax credit aims to assist small businesses like yours to ease such steep healthcare costs. If you are interested in offering health insurance to your employees but don’t know where to begin, reach out to an experienced health insurance professional. We at Bernardini and Donovan are here to advise each of your questions and concerns for this endeavor. Call on us today!
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What Are Your Options During Open Enrollment:

open enrollment

Insurance EnrollmentTis the season for giving thanks, festive gatherings, and open enrollment! This is the time in which you have the option to either make changes to your health insurance plan or to switch it out with a new one. So, as we approach 2020, be sure to evaluate your healthcare needs, your coverage plan, and your available options.

When is Open Enrollment?

The period in which open enrollment takes place depends on how you get your insurance. For Medicare recipients, open enrollment spans October 15th to December 7th. Individual plan enrollment extends between November 1st to January 31st. However, if you’d like for you plan to be effective on January 1st, you must enroll by December 15th. Medicare begins from October 15th until December 7th. And if your employer covers you, this period varies and depends on your company.

If you are covered by the Affordable Care Act (ACA), open enrollment is dependent on your state. So if you live in California, this period spans from November 1st until January 31st. Finally, if you are eligible and would like to opt for Medicare or the Children’s Health Insurance Program, you can enroll at any time of the year. See if you qualify for either of these programs here. 

Your Health Insurance Options During Open Enrollment: 

  1. Renew your current policy if needed. You have the option to keep your current health insurance if you are satisfied with your coverage. In this case, you may not need to do anything during open enrollment. However, be sure to look out for any changes to your policy. In the case of modifications, consider how they might affect your particular coverage needs. And if you find that you do require change, open enrollment is the ideal time to do so.
  2. Buy an individual plan. You can do this through a marketplace or via an individual policy provider. If you decide to sign up on the marketplace exchange in California, you must qualify for the tax subsidies that will assist in paying for your premiums. Your family size and income determine your eligibility for this.
  3. Make changes to an employer-based group plan. Most people are insured through their employers. In this case, open enrollment will not affect you. That’s because this season will only pertain to the government-run marketplaces and the Affordable Care Act plans. However, you will need to sign up or renew your coverage during the particular time in which your company has its own open enrollment. Each company will have its own specified renewal dates. Your responsibility at this time is dependent on the policies of your employer. Some will automatically renew your coverage every year, while others will ask you to sign up each time. Also, keep in mind that employer health care providers change with some consistency, so make sure you know what you’ll receive with each change.
  4. Change your medicare plan. If you’d like to opt for different coverage within your medicare plan, do so during open enrollment (from October 15th to December 7th for medicare.) The open enrollment period that is specific to government-run marketplaces will not affect you.
  5. If you are not satisfied with the health coverage plan you initially selected, there is one more opportunity for you to make changes to your plan.  This comes during the year’s final open enrollment, happening January 1st until March 31st.

Open enrollment and all things insurance are a common source of holiday headaches. But don’t let the complicated slew of options get you down this season. For all of your insurance inquiries and needs, do not hesitate to call on us at Bernardini and Donovan. We are experts in health care coverage and are here to care for you and your family. Reach out today!

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The Latest Small-Group Health Plan News

group health plans

For your Redlands-based small business, of one to one hundred employees, finding the right health plan can be a challenge. Amid so many options, fluctuating circumstances, and things to consider, the choice is often overwhelming. However, with informed guidance and attentive counsel, you and your employees will benefit from the security of a quality health insurance plan. This is where we at Bernardini and Donovan come in. We are here to provide you with expert advice as you make this critical decision for your valued team members. And before you finalize your choices, take note of these health insurance updates.

Latest small group health insurance news:

  1. In the fourth quarter of this year, those who are renewing their policies will notice a rate increase. This is caused by an added component of the Affordable Care Act called the Health Insurance Tax (HIT). Though it was anticipated to be repealed, it is now driving up costs. These price increases vary in severity ranging from three to four percent to 15 percent. As we anticipate this upcoming tax, there are some opportunities to offset these costs with other insurers. Though this option will not exempt you of this tax, it will alleviate it, so it is not so harsh.
  2. Rates seem to fluctuate with every quarter. That’s why in light of these increases, we can look forward to a rumored rate decrease in the first quarter of next year. Take note though that group plans are dependent upon their renewal date. This is the point at which your rate will be fixed for the next 12 months. And so, these changes will not affect your policy if it’s locked into what is called your rate guarantee.
  3. There is a new coverage option, specifically helpful for the small employer who is concerned that they will not have enough participants. The Portfolio Plan does not require any number of participants, making this one of our most competitive options and an excellent choice for small business owners.
  1. As you consider these updates and search for your ideal plan, keep in mind the value of your insurance broker’s customer service. While the price of a health coverage plan will remain the same across the board, the quality of your broker’s service is what really matters. So, look for a provider that will be there when you need them, who will help you care for your employees, and make sure to keep you compliant. These are the most valuable services a broker can provide. And these are what we at Bernardini and Donovan are proud to offer our clients right here in Redlands. If you are in search of a health coverage plan in any capacity, please do not hesitate to reach out. We are prepared to offer our expertise as we assist you in this complex decision-making process.
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5 Small Business Health Insurance Pitfalls

small business health insurance

Redlands small businesses face several challenges when it comes to employee health insurance. However, this must be made available for the benefit of each employee and the success of your company. Offering health insurance makes your employees more likely to stick around, keeps them happy and healthy, and can even save you money. So, while it may seem like a daunting endeavor, we advise that no matter the size of your company, you consider offering health insurance.

There are a few mistakes when implementing a health care plan for your employees of which to take note. Make sure that you are aware of their threat and of the ways these pitfalls can be avoided. And rest assured that, even when issues arise, there are often simple solutions.

California health insurance
  1. A misunderstanding of eligibility requirements. 
    There are a few things that might keep an individual from partaking in their employer’s health care insurance plan. That’s because a group insurance plan does not automatically prompt eligibility for every employee. Typically, employees are required to work a minimum of 30 hours a week and must fulfill a distinguished waiting period to gain eligibility. This all depends on your state, your insurance provider, and your particular policy. Make sure that upon implementing a new plan, your employees are aware of these requirements.
  2. Miscommunication about the waiting period.  The waiting period indicates the number of consecutive days an employee must work to gain eligibility for the health insurance plan. This number should be decided based on the time you believe is required to discern an employee’s loyalty to the company. And you must communicate this exact amount clearly to your new employees to avoid miscommunication and confusion.
  3. Paperwork mishaps.  Paperwork is something about which we can all commiserate. But despite its world-renowned nuisance, this is the paperwork you cannot overlook. Incomplete or untimely paperwork will cause several complications in your health insurance plan. So make sure that it is submitted with complete accuracy and on time. And be assured that if an employee is terminated, added, or needs to make changes to their coverage, their corresponding paperwork is updated correctly.
  4. Failing to reconcile carrier bills. If an employee is wrongly included or missing from a bill, you face the issue of someone either not receiving coverage or being overcharged. And while these bills are typically accurate, you ought to review them regularly for assurance.
  5. Neglecting to take action when something goes wrong. The Explanation of Benefits or EOB lists the date of service, cost, negotiated discount and deductible accounting and amount for which the patient is responsible. This must coincide with the patient’s medical bills. So if these are mismatched, or demonstrate an issue, be sure to take action immediately. There is often an easy solution to this problem, but it is best solved with urgency.

While these issues may pose significant setbacks to your business, choosing a local Redlands broker like Bernardini and Donovan will help alleviate their severity and prevalence. We are prepared to assist your choice in plans and to provide exceptional customer services as it is administered.

Health insurance is a vital aspect of one’s well being. It assures that upon unforeseen medical circumstances, an individual will be financially covered. This confidence, as one faces inevitable unknowns, is crucial to living well and happily. So, as a small business owner, be sure to provide insurance to your employees for their peace of mind and the benefit of your company. Please do not hesitate to reach out to us today for a simplified and seamless experience.

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Changes to Covered California are Coming

Change is inevitable. Each day when you wake you just can’t be sure what that day will bring. Granted, sometimes you get a heads up. Like when you see the storm clouds brewing off in the distance, it’s a good idea to bring your umbrella. Or when you hear of a huge traffic hold up on your normal commute, you avoid that route and take the side roads. So here is your heads up when it comes to Covered California rates. They are going up to the tune of 13.2%

For the past two years California has been able to negotiate to keep the rates in an affordable increase averaging around a 4% increase. However, the legislation that allowed for them to do that is now is now expiring. With these rate increases we will see California’s rates being more comparable to the rest of the nation whose rates have been rising steadily over the past few years.

Also, if you are small business owner with 50-100 employees, the laws are changing for your health coverage. If you have 50 and up to 100 full time eligible employees then it is required that you provide health insurance for your employees.

So why are these changes happening? Peter Lee, the executive director of Covered California says that “Under the new rules of the Affordable Care Act, insurers face strict limits on the amount of profit they can make selling health insurance… We can be confident their rate increases are directly linked to health care costs, not administration or profit, which averaged 1.5 percent across our contracted plans.”
Of course as our country continues in our heated political race this discussion will continue to play a part as the presidential candidates weigh in on the effectiveness of the Affordable Care Act. With this change coming it will be interesting to see the full effects of these coming changes.

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Covered California and Small Businesses

Looking into insurance for your employees at your small business? What does Covered California have to offer you as a small business employer? Well, we are glad you asked. Here is some basic information about what you could expect:

First, let’s define a small business. Covered California defines a small business as any business with under 100 full time equivalent employees which is a W-2 employee working 30 hours a week measured on a monthly basis. Covered California offers a variety of health insurance plans to puts you in charge of your health insurance budget while letting your employees get to choose from affordable, quality, and popular health insurance plans from private health insurance companies. The plans have levels of Bronze, Silver, Gold or Platinum. As an employer you can chose one or two plan levels of coverage to offer employees and define the amount they will contribute towards their employee premium. At that point the employee has the choice of which plan will meet their families needs. But regardless of the plan that they choose, all the plans offer these 10 basic benefits:

1. Doctor Visits
2. Prescription Drugs
3. Emergency Services
4. Pediatric Care with Dental and Vision
5. Lab Services
6. Maternity and Newborn Care
7. Hospitalization
8. Preventive and wellness care
9. Rehabilitation
10. Mental health and substance abuse services

You can enroll in Covered California at any time and the coverage will last for the 12 months following when you signed up. You can also add new employees to the program throughout the year as they get hired. You may even be eligible small business tax credit to offset the cost of providing insurance. To find out more about Covered California, more of what is offered, if this could be a good fit for your business and what is needed to qualify for the small business tax credit contact us at Bernardini & Donovan. We are experts in all the ins and outs Covered California and can help you make the best choice that fits your unique situation.

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To offer health insurance or to not offer health insurance, that is the question…

When you run a small business there are a lot of different things on your plate and you wear a lot of different hats. Who is going to make sure the photo copier gets fixed? You are. Who is going to ensure that those invoices get paid? You are. Who is going to oversee the marketing and branding of your business? You are. And who is going to make sure that your employees are cared and happy? You are. When you are looking at the well being of your employees one of the first things that comes to mind is to offer health insurance. But in this new world of health insurance laws offering this benefit to your employees can bring with it additional costs and premiums for you, confusing jargon and still may not be exactly what your employees want.

When the Affordable Care Act was first brought on to the scene many small businesses opted to no longer provide health coverage for their employees. That was because they were given very little incentive at that time and little time to fully understand the programs they would be signing up for. Additionally, their employees could now pick their own insurance program.

However, some employers in the past few years have started to look at how they might be able to offer their employees either some form of coverage or help with paying for health insurance. The benefits for them were that they wanted to help their employees with their financial burdens. Only around 44% of Americans today say that they feel in control of their finances. This was also a great way for them to make themselves stand out when looking to hire new employees and retain the employees they already had.

If you are a small business owner and want to look into the different options available to you come speak to us at Bernardini & Donovan. We want to ensure your success and the happiness of your employees by offering the best health care solutions for your unique situation.

let Bernardini & Donovan find the right plan for you

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