In Connecticut, a small employer is a business that employs no more than 50 employees and includes a self-employed individual. A small employer wanting to purchase health insurance for its employees has several options, including:
- purchasing a commercial insurance policy underwritten by a licensed insurer or health maintenance organization (HMO);
- obtaining coverage under a plan arranged by the state comptroller, called the Municipal Employees Health Insurance Program (MEHIP) for commercial small groups; and
- obtaining coverage under a plan issued to an association, such as the Connecticut Business & Industry Association (CBIA) Health Connections program.
The federal Patient Protection and Affordable Care Act (P.L. 111-148) became law in March 2010. It requires most Americans to have insurance beginning in January 1, 2014 or pay a penalty. It also requires states to create an online marketplace, called an “exchange,” where individuals and small employers can shop for health insurance.
Public Act 11-53 established the Connecticut Health Insurance Exchange (HIX) as a quasi-public agency overseen by a 14-member board of directors. The board is planning and implementing Connecticut's exchange. It plans to begin marketing health insurance policies in October 2013 for coverage beginning January 1, 2014.
For more information on the HIX and to follow its development, see http://www.ct.gov/hix.
For more information, read the full report.
