While many businesses are struggling with increasing health insurance premiums, many of them believe they see a light at the end of the tunnel as a result of the Affordable Care Act (ACA).
HealthMarkets recently completed a survey of more than 500 small businesses with fewer than 50 employees and we are encourage by the level of optimism we found among this group.
According to our survey, nearly half of businesses currently using individual coverage indicate government subsidies would make individual coverage even more appealing, and nearly half of businesses that currently provide group coverage would switch to individual coverage for government subsidies.
These results are not surprising since the survey also revealed that more than one third of businesses currently using individual coverage believe the ACA will either save them or their employees more money, while more than half of businesses currently using group coverage believe the ACA will either cost them or their employees more money.
We believe the differences in the cost perceptions stem from the confusion surrounding ACA requirements for small businesses since nearly half of all businesses with fewer than 50 employees believe there are not enough resources about the ACA for small businesses. However 69% of businesses currently using individual coverage feel confident in their understanding of the ACA.
This is why meeting with a licensed insurance agent who is knowledgeable in both individual and group coverage is so important, especially for those small businesses who current offer group coverage. Our study shows that 62 percent of businesses that have utilized the help of insurance agents feel confident in their understanding of the ACA.
And while 73% of businesses with group coverage believe the health insurance process is complicated, businesses that have used HealthMarkets are 36% less likely to find the process complicated. Additionally, the survey found that more than half of businesses with group coverage indicated that health insurance costs them too much money. However, businesses that have used HealthMarkets are 26% less likely to find the health insurance process expensive.
One thing everyone can agree on is that every business is different and what works for one business, may not be the most cost-effective option for others. But, between the ACA regulations and the seemingly endless paperwork, choosing health insurance can feel overwhelming. That’s why getting the help of a licensed agent is so important.
If you are interested in meeting with a licensed agent who can help you understand how the ACA impacts your business and what options are available to you, call (800) 976-5818 today.
Click here to view additional highlights of HealthMarkets’ Small Business Survey.