Finding the Best Oklahoma Small Business Health Insurance

As a small business owner in Oklahoma, providing quality, affordable health insurance for your employees should be a top priority. With rising healthcare costs, choosing the right plan at the right price is crucial. This comprehensive guide will walk you through everything you need to know about getting the best small group health insurance for your Oklahoma-based business.

Why Offer Small Business Health Insurance?

There are several important reasons to offer health benefits:

• Attract top talent – Quality insurance is one of the most desired benefits. Offering a plan can give you a competitive edge in recruiting.

• Retain employees – Providing insurance promotes loyalty and retention, reducing turnover costs.

• Tax benefits – Premiums are deductible business expenses. Certain plans also provide tax savings for employees.

• Improve productivity – Healthy employees tend to be happier and miss less work.

• It’s the right thing to do – Providing benefits shows you value your staff and their wellbeing.

Oklahoma Small Business Health Insurance Basics

Here are some key facts about small group health plans in Oklahoma:

• Small group size – 2-50 eligible employees

• Eligibility – You can’t exclude staff who work 20+ hours per week after 2 months.

• Coverage options – Any small group plan certified by the state is eligible. Most offer PPO and HMO choices. High deductible health plans (HDHP) with integrated health savings accounts (HSA) are also available.

• Essential health benefits required – This includes items like prescription drugs, hospitalization, prenatal care, mental health services, and more.

• Pre-existing conditions covered – Insurers can’t exclude pre-existing conditions or charge more.

• Tax credit available – The Small Business Health Care Tax Credit assists some small businesses.

Where to Shop for Small Business Health Plans

You have several options when it comes to where to purchase group health insurance:

• Insurance carriers – Contact insurers like Blue Cross Blue Shield, UnitedHealthcare, Aetna, Cigna, etc. directly.

• Professional employer organizations (PEO) – PEOs manage your benefits and other HR needs.

• Health insurance brokers – Brokers like eHealthInsurance.com shop plans from multiple carriers.

• Health insurance marketplaces – The federal SHOP Marketplace offers group plans at healthcare.gov.

Working with an independent broker or SHOP provides the ability to compare multiple carrier rates.

Tips for Choosing a Plan

Here are some things to consider when evaluating Oklahoma small business health insurance options:

• Premium budget – How much can you and your employees afford to spend on premiums?

• Deductibles – Do you want higher deductibles with lower premiums or vice versa?

• Coinsurance and copays – What cost-sharing makes sense for your workforce?

• Networks – Do doctors your team uses accept the plan’s network? How broad is the provider network?

• Benefits – Make sure the plan includes essential benefits and any other key services like dental or vision.

• Employee needs – Factor in the demographics and needs of your workforce.

• Business type – Some policies are designed for specific industries.

• Prescription drugs – Check how the plan covers any medications your staff needs.

• Plan administration – Who handles enrollment, questions, claims, etc? What online resources are available?

Doing annual group health insurance reviews and cost benchmarking against other plan options can help you get the best ongoing value and cost.

Available Carriers in Oklahoma

Here are some of the top insurance companies offering small business health plans in Oklahoma:

• Blue Cross Blue Shield of Oklahoma
• UnitedHealthcare
• Aetna
• Cigna
• Humana
• MetLife
• Dean Health Plan
• Medica
• Bright HealthCare

Be sure to compare rates and plan details across multiple carriers each year. New options enter the market regularly.

SHOP Marketplace Plans

The federal government’s Small Business Health Options Program (SHOP) Marketplace offers group health plans in Oklahoma from the following carriers:

• Blue Cross Blue Shield of Oklahoma
• UnitedHealthcare
• Medica

Plans cover essential health benefits, pre-existing conditions, and preventive care. Small businesses may qualify for the Small Business Health Care Tax Credit when buying SHOP plans.

Carrier-Specific Plan Options

Here are some of the most popular group health plan choices from top insurers in Oklahoma:

Blue Cross Blue Shield of Oklahoma

• BluePreferred PPO
• BlueLincs HMO
• BlueEdge HSA

UnitedHealthcare

• Core PPO
• HSA Choice Plus
• Navigate HMO

Aetna

• PPO
• HSA PPO
• HMO

Cigna

• Open Access Plus PPO
• LocalPlus HMO
• HSA PPO

Humana

• Group Medicare Advantage PPO
  -coinsurance choices

Bright HealthCare

• Bright HealthCare PPO
• Bright HealthCare HMO

Dean Health Plan

• Prevea360 PPO
• Prevea360 Plus HDHP
• Prevea360 Copay HMO

Employee Contributions

On average, Oklahoma employees pay about $100 per month toward premiums for group plan health insurance. Employers cover the remainder of the premium. You can set contributions based on any percentage split up to 50%/50%.

Tax Credit for Small Business

The Small Business Health Care Tax Credit assists eligible small businesses with health insurance costs. To qualify in Oklahoma for 2022:

• You must have fewer than 25 full-time equivalent employees

• Average annual wages per FTE must be less than $55,600

• You must pay at least 50% of employee premium costs

This credit is worth up to 50% of your premium contributions (up to 35% for nonprofits).

Using Health Savings Accounts

Many small businesses pair high deductible group health plans with health savings accounts (HSAs). This allows employees to save and pay for medical expenses tax-free.

Some key advantages of HSAs include:

• Triple tax savings for employees on contributions, growth, and withdrawals for qualified medical expenses.

• Funds roll over year to year and are portable when employees leave.

• Employers can contribute to employee accounts pre-tax.

• High deductible plans cost less in premiums.

HSAs are a great way to make coverage more affordable for both employers and employees.

Deadlines and Effective Dates

• Open enrollment for SHOP plans runs from November 15 through December 15 each year for a January 1 effective date.

• Most small business group health plans are on a calendar year schedule with January 1 renewals and open enrollments in late fall.

• There is no mandated waiting period in Oklahoma, but many impose 60-90 days before new hires become eligible.

• Employees and dependents who lose other qualified coverage are eligible immediately if they apply within 30 days.

Avoiding SHOP Late Enrollment Penalties

The SHOP Marketplace charges a late enrollment penalty if you don’t buy a SHOP plan the first year you qualify to do so. You must maintain SHOP coverage each year to avoid penalties. Buying outside SHOP won’t allow you to avoid the late enrollment penalty if you qualify for SHOP plans.

Key Takeaways for Oklahoma Small Business Health Insurance

• Offering group health benefits can improve recruitment, retention and productivity.

• Reassess carrier options and benchmark pricing each year at renewal time.

• Balance premium costs with deductible levels and other variables to meet employee needs and your budget.

• Tax credits and HSAs can reduce insurance costs for small businesses.

• Use an insurance broker or SHOP Marketplace to compare plans from multiple carriers.

• Don’t wait to set up group benefits to avoid SHOP late enrollment penalties.

Providing quality, affordable healthcare coverage should be a top priority for Oklahoma small business owners. Taking time to research all the options will help you find optimal plans tailored to your employees’ needs and your budget. Reevaluate your choices annually to get the best ongoing value.