Speak with a Live representative, call (855) 303-0841
- Get a Free Health Quote - No Hidden Fees
- Speak to a Real Human
- We will answer any other Health questions
- Learn How to Avoid the Tax Penalty
(Operators available 9am-9pm EST)
In Kentucky, no small business is required to provide insurance coverage. Those companies that have 50 or fewer people will not face any penalties if they do not have insurance coverage for their workers. If the small business has 25 or fewer employees, they may actually be able to benefit from tax credits through Kynect, which can help to cover the cost of the insurance. Those businesses that have 50 or fewer full-time employees (or full-time equivalent) will be able to enroll through Kynect SHOP.
What Is SHOP
SHOP is the Small Business Health Options Program. Business owners will be able to apply online through Kynect.ky.gov. In order to be eligible for this program, the employer will need to have 50 or fewer employees. You also need to offer all of your full-time employees (this means an average of 30 or more hours per week) coverage in the health insurance plan. You also need to have a principal business address in Kentucky, or have a worksite in Kentucky where you will offer coverage to the full-time employees.
Small businesses can fill out an application, which will include their company information as well as information about each of the employees they will cover. The employee information required includes the name, SSN, gender, date of birth, phone number, type of employees, hire date, whether they are a smoker or tobacco user, and their address.
After completing the application, they can sign, date, and send it in to see if they can be approved to use SHOP to find healthcare coverage for their employees. If they are denied, they have the right to appeal the decision and to ask for a review to see if they can have the decision reversed.
Can the Business Decide the Type of Coverage Provided?
As a business owner, you will be able to determine the type of coverage offered for your employees. The plans are broken up into four different tiers – bronze silver, gold, and platinum. The lowest tier of the plan, bronze, will cover a smaller percentage (around 60%) of the medical expenses than the other plans. Platinum will cover the greatest percentage of the costs (around 90%).
Benefits of Enrolling With Kynect
Why should small businesses enroll for a company healthcare plan through Kynect? It is a quality service that makes it faster and easier to find and choose good healthcare for the employees. There is an easy online system for applying, and employers will easily be able to compare and choose between the different plans. They can choose a single plan from one insurance company, or they can choose several plans from different companies based on their needs. The employers will determine the plans, policies, and the open enrollment periods for the company. Kynect will take care of the details, as well as the billing, making it a very easy system to use.
Another one of the benefits is the possibility of getting tax credits. Those who have fewer than 25 employees could be eligible for tax credits worth 50% of their contribution. This reduces the cost of providing health coverage.
While a small business may not be required to enroll and provide healthcare coverage for their employees, there are plenty of benefits for those who do.