Own a Small Co? Have Health Insurance? Better read this..

If you currently are offering a Group Health plan (under 50 employee's) you better read this article.

You have literally days to lock in or change your plans before the "Storm hits".  The 2014 SHOP (Covered California plans) rates are published.  I have been comparing 2013 rates with 2014 rates and "WOW" have the new rates increased!  What is interesting is that in some instances rates will increase 50% - 100%!  And some plans are going away (as they are now illegal to offer because of Obamacare. 

Immediately (like today) you better review your groups "Anniversary" find out when your plan will renew?  If it is anytime prior to December 01, 2014 you best contact your Broker or current carrier and find out the 2014 rates and most importantly the plans.  I have found that most of the old plans are "going away", and the new plans in some cases are doubling in Deductibles!

The old way of calculating rates for Groups will be a thing of the past in January 01, 2014 no longer will companies use RAF rates (rates based on how healthy your employee's are) the new rates will be standard for everyone.  Additionally, in 2014 rates will be calculated based on a employee's "age" along with dependents age. "Example- in 2013 a employee aged 34 is married and has 2 kids pays a rate based on the employee's age- Starting 2014 we take the employee's age 34 and the husbands age 44 (higher cause older) and the kids ages 17 and 20 (each age will be uniquely priced".  I have ran family rates that were $700 that are now $1500. and guess who will be paying the difference?  

Once 2014 arrives it will be too late and Employer groups will have very limited options, groups that wait until December 01, 2013 to change plans will be forced into Obamacare!!!.. yikes.  Remember the new Covered California SHOP plans are limited to an employer offering one "metal tier" to all employee's so for example, if the Employer wants to offer "Silver plans" everyone has to pick a Silver plan with that plans Deductible - No choice, employee's who want to buy a better plan will be unable to under Obamacare. 

Finally, whether or not an employee elects to provide group insurance, the employees are still mandated to have insurance.  Starting 2014, all Individuals must have health insurance or face tax penalties. 

Contact me here in Newport at ppohmo@aol.com or 800 459 0515