BY ALAN J. MURRAY
As we head into year two of the Affordable Care Act, there”™s good news and bad news for New York”™s small-business owners. The bad news: Even in year two, the changes in health care coverage can be confusing. The good: When you cut through the confusion, you may be able to find a better plan for less money. Here”™s a practical guide to getting what you need.
Ӣ Check in with your employees. No one knows better than your workers how theyӪve been faring. Before you shop the market, give them a chance to tell you what they like and donӪt like about the choices you currently offer. You might not be able to solve all their problems, but the more you know about their needs, the more you can help them. That means better care outcomes and happier workers.
Ӣ Take a fresh look at your options. The renewal decision used to be a pretty simple one for small-business owners. The cast of insurance companies was very stable, and carriers typically offered more or less the same meat-and-potatoes plans at similar rates. With the Affordable Care Act, all that has changed. In the past two years, three new carriers have begun offering insurance to small businesses in Westchester County: MVP Health Care, Health Republic and CareConnect. WhatӪs more, thereӪs more variety in the kinds of plans being marketed. Some are built on tightly focused networks, while others have doctors all over the country. Some have a high-tech, self-service model, while others emphasize customer service. Take a fresh look at all of the new and old plans with your broker to find the right fit at the best price.
Ӣ Keep an eye on the calendar. With all the attention thatӪs been given to deadlines for individuals signing up for health insurance through New York State of Health, itӪs easy to miss the fact that small businesses that enroll off the exchange face cut-offs, too. Many insurers have a submission deadline that falls on or around the 15th of the month; CareConnect extends it to the last day of the month. To avoid a gap in coverage and ensure you can use your preferred carrier, keep these key dates in mind, especially if youӪre making a switch.
Ӣ Focus on total costs. Your employees may look first at the amount that comes out of their paycheck to pay for their health plan, but theyӪre also deeply affected by out-of-pocket expenses like the planӪs deductible and co-pays. A bronze plan that requires a low employee contribution might be a great deal for a staffer who rarely sees her doctor outside of the annual checkup. But if she has a chronic problem, like asthma or diabetes, the co-pays that come with a bronze plan are likely to add up. You know your workforce better than anyone else, so think about whether you should include a higher-metal plan in the choices you offer. For some of your workers, a plan that requires a higher employee contribution may actually be a better deal.
Ӣ DonӪt leave money on the table. If salaries at your company are less than $50,000 on average, you may be eligible for a tax credit that can reduce your costs. Very few small businesses in New York have applied for this credit, which is based on the ownerӪs contribution to employeesӪ health insurance. The tax credit isnӪt huge, but it can lighten your burden. Why not take the money?
Finding the best health insurance for your employees may seem daunting, but there are plenty of plans out there that will give them access to the care they need at a price you can afford. Take the time to consider your options. The result will be better health for your workers ”” and your bottom line.
Alan J. Murray is president and CEO of North Shore-LIJ CareConnect Insurance Co. Inc. He can be reached at CEO@nslijcc.com.
