Time and stress management | Accounts receivable
Health insurance
Keeping your business’ biggest asset healthy: Why health insurance is important
Your most important business assets are you and your employees. So the money you pay in medical insurance premiums is an investment in your business.
In New Mexico, a small business is eligible to purchase group health insurance if the business employs from two to 50 people. Also, depending on the health insurance company, a certain percentage of employees may be required to purchase the policy. Employers may be required to contribute a certain amount toward the employee’s premiums before the health insurance company agrees to sell the group a policy.
How it works
Rates are calculated in bulk for group health coverage, with the financial risk spread among all the members so that premiums are usually lower with more extensive coverage. Generally, employer contributions are 100 percent deductible, and employees save on their payroll taxes.
Although a self-employed individual cannot purchase group health insurance, he or she benefits come tax time, where from 70 to 90 percent of health insurance premiums can be claimed in itemized deductions.
There are two categories of health insurance policies: managed-care health plans in which the focus is on prevention, and indemnity health plans, also known as “fee-for-service,” which provides full coverage. But somewhere in between are “mixed” types of health care plans that are becoming more popular and should definitely be explored when looking for health-care coverage.
With a little research, you’re on your way to health care coverage!
A good source of information online is at http://www.healthinsuranceindepth.com, which explains medical insurance basics and the different types of plans available.
In New Mexico, the State Coverage Insurance program (SCI) provides health care coverage to low-income working adults. As an employer, you can enroll your business and employees for low-cost health insurance coverage, or, as a self-employed individual, you may purchase coverage for yourself.
ACCION New Mexico • Arizona • Colorado is partnering with Presbyterian Health Plan, Blue Cross Blue Shield, Lovelace Health Care System and SCI through the program to help educate ACCION clients about their health-care options.