Health Insurance Marketplace
Starting in 2014, individuals — and small employers — are being introduced to a new way of buying health insurance.
|Individual||Health Insurance Marketplace|
|Small Employers||Small Business Health Options Program (SHOP)|
Small Business Health Options Program (SHOP)
Small employers can buy group health care coverage by selecting a SHOP Marketplace plan on behalf of their employees. Or, pass and keep buying like they do now with a group contract.
Beginning in 2015, you'll have a few options for offering group health plan coverage based on your state.
Small Employer Tax Credits
If you have 25 or fewer full-time equivalent employees and buy your group health care through SHOP, you may get a tax credit. This credit will pay up to 50% of your total cost for the first two years you offer SHOP coverage.
Small employers can claim their tax credit by sending in Form 8941, Credit for Small Employer Health Insurance Premiums.
Individuals can apply for coverage online, over the phone or by mail.
Metallic Level Plans
Marketplace health plans will fall into one of four metallic levels. You'll find a variety of plans offered across the tiers, all covering essential health benefits (EHBs):
- SHOP — Each level shows much you'll pay into the total cost of your employee's coverage
- Marketplace — Each level shows a range for health coverage costs
|Level||Plan Pays||You'll Pay||Cost Details|
based on income.