Group/Small Business

Most health insurances are benefits obtained through employers. Health insurance plans are one of the major benefits offered by many employers. A group health insurance plan is a key component of many employee benefits packages that employers provide. The majority of Californian employees have group health insurance in California through their employer or the employer of a family member.

Group Health Insurance in California
Most insurance companies in California have three classification levels based on the number of enrolled employees on the health plan: small, mid-size, or large.

The number of employees insured under small group quotes may also determine the type of coverage and small group benefits available to the employer and the per-employee premium. Small group generally consists of 2-50 employees. Small group generally is fully insured – that is, employers purchase insurance quotes from a licensed health insurer or HMO, which takes on the full financial risk for paying claims.

Group Health Quotes
California group health quotes are offered on a guarantee-issue basis. Small group insurance quotes may cost less for participants than individual plans that offer the same benefits. This is because the risk is spread over the entire group, rather than one person.

Premiums and benefits for small group quotes across California and in other states can vary. Factors considered include state regulatory rules and rating requirements, health status, state premium taxes or assessments, the cost of hospital and physician services in local areas and the types of products chosen and degree of deductibles or other cost-sharing purchased by small businesses.

Small Group Benefits
One of the benefits for employees in a group health insurance in California is the contribution most employers make toward the cost of the insurance coverage premium—in many cases, employers pay half or more of the monthly premium for an employee. Other benefits include flexibility to meet employee needs, affordability of quotes.

For most employers, small group health insurance is perhaps the most important benefit they offer both sides benefit: employer benefits include tax deduction for offering coverage, while employee benefits include untaxed compensation provided to meet premiums.