Health Insurance - Tennessee Small Business Options

Tennessee has options for the small business owner wanting to offer health insurance benefits to employees.

Tennessee is one of the few states to enact a group plan option for employers with lower income employees. The business must have 25 or fewer full-time employees and 50% must earn $43,000 or less.

CoverTN is a voluntary partnership between the state, individuals and employers. Each pay one-third of the monthly premium for basic health insurance. This is limited low-cost coverage for doctor visits and preventative screenings. The plan is not traditional major medical insurance and will not cover catastrophic medical costs. The annual plan maximum is $25,000 which includes inpatient hospital stays.

Another option for employers of 2-50 employees is through insurance companies. Several insurance companies in Tennessee offer various Major Medical options to the employer. These plans give much more protection than the current state plan in Tennessee. Plan features such as how much it costs the employer and employees can vary tremendously from plan to plan. It would be well worth the time and effort to research the different options.

Tennessee Small Business Options

Businesses may benefit economically by providing health coverage for workers and their families. The health insurance premiums your company pays are fully tax-deductible as a business expense. The tax advantages make the cost of purchasing insurance considerable less. Employees may make their premiums on a pre-tax basis through payroll deductions giving the employee more "take home pay".

Businesses who offer health insurance to employees recruit higher-quality workers and reduce staff turnover. It has also been found having health insurance limits workers' compensation claims. Employees consider health insurance to be the most important in a benefits package.

As a business owner, you may not have the time to research your insurance options. It costs you nothing to get the advise of an Independent Insurance Agent who is knowledgeable about the different plans and companies.