Best Health Insurance for Small Businesses

We provide FREE HELP with:
- Exploring Health Plan options
- Getting Enrolled
- Qualifying for Tax Credits

What is Covered California for Small Business?

Covered California for Small Business (CCSB) is a health insurance marketplace specifically designed for small businesses to obtain quality, affordable health insurance for their employees.

Covered California provides small businesses with 100 or fewer full-time equivalent employees a choice of competitively priced health insurance plans from private insurance companies, so both the employer and their employees can find a plan that fits their needs and budget.

It's also the only place where qualified small businesses are able to qualify for federal tax credits to help pay for the cost of providing health coverage to employees.

Explore Your Health Plan Options

CCSB offers small businesses health insurance plans with quality health benefits and four defined levels of coverage:

  • Covers 60% of average annual health costs after you satisfy the annual deductible – you pay the rest, plus co-payments, up to your annual out-of-pocket maximum.

  • Covers 70% of average annual health costs after you satisfy the annual deductible – you pay the rest, plus co-payments, up to your annual out-of-pocket maximum. This is the most popular plan.

  • This plan has no deductible and covers 80% of average annual health costs – you pay the rest, plus co-payments, up to your annual out-of-pocket maximum.

  • This plan has no deductible and covers 90% of average annual health costs – you pay the rest, plus co-payments, up to your annual out-of-pocket maximum.

Through CCSB, small business owners can compare and select group health plans from many brand name health insurance carriers, including IEHP, Blue of California, Anthem Blue Cross, Healthnet, Molina, and Kaiser Permanente.

Employers can choose one or two metal tier plans to offer employees and define the amount they will contribute towards their employee premium.

Each employee may then choose a health plan that meets their needs within the employer's defined level(s) of coverage. CCSB enrolls eligible employees in their selected health plan and consolidates employer billing into one monthly invoice. Employers may also choose to offer dependent coverage and have the option to contribute towards dependent premiums.

Small businesses have the option to enroll in small business health insurance plans at any time throughout the year. Once an employer has enrolled, coverage and premiums are guaranteed for 12 months from the coverage effective date. Newly eligible employees may be added during the plan year.

Have questions? Click the buttons below to call us or to schedule a free, no-obligation appointment to learn how CCSB can help your business.

Give your Employees Options with Dual Tier Choice

CCSB offers small businesses the ability to provide employees with more choices for health coverage at no additional cost by introducing a two-tier model called "Dual Tier Choice."

With Dual Tier Choice, employers select their contribution level and reference plan as before, but now employers can pick two adjoining metallic tiers - Bronze + Silver, Silver + Gold, or Gold + Platinum - to offer employees instead of just one.

Because employees have the opportunity to compare and select health plans at a variety of price points, the result is greater choice and coverage more closely tailored to individual needs.

Adult Dental

Employers have the option of offering stand-alone voluntary dental coverage for adults. Dental benefits are employee paid with no additional cost to employers, allowing businesses to expand benefit offerings without increasing benefits cost.

Who is eligible to participate?

Employers with 100 or fewer full-time-equivalent employees are eligible for coverage through CCSB. At least one employee must receive a W-2 tax form at the end of the year for the business to be eligible. If you are self-employed, without any employees, you are not eligible to enroll; however, Covered California's Individual Marketplace may be an option for you and your dependents.

Employees that are eligible for coverage include:

  • Full time employees (30+ hours per week)

  • Part-time employees (20-29 hours per week) at the employer's discretion

How will CCSB help your business?

  • Providing health insurance helps keep your employees healthy, happy and productive. Covered California for Small Business offers quality coverage to help attract and retain top talent for your business. Also, preventing illness reduces absenteeism and increases productivity.

  • You have the option to choose the level(s) of coverage to offer employees, compare health plan benefits, and premiums, and ultimately make the best decision for your business and budget. Qualified businesses may be eligible for a tax credit by purchasing health insurance through Covered California for Small Business

  • Covered California allows employers to choose which level(s) of coverage to provide their employees and how much to contribute toward premiums. Each employee may then choose a health plan that meets their needs within the coverage levels

  • Employers can receive in-person enrollment assistance at no cost from Certified Insurance Agents.

  • Manage employee enrollment, including renewals and terminations, and upload change forms for employees switching plans or updating information.

Will your business be eligible for tax credits?

As a small business owner, you may qualify for a federal tax credit to help offset the cost of providing health insurance to your employees. To qualify for a tax credit, employers must contribute at least 50 percent of the employee premium costs.

Currently, federal tax credits are only available to groups that purchase health insurance through Covered

California for Small Business. The maximum available tax credit is 50 percent of insurance premium expenses and is available for a total of two consecutive years. The employer tax credit will depend on a number of factors, including the number of full-time equivalent employees and the amount you contribute toward premiums. Generally, small businesses that have fewer than 25 full-time-equivalent employees and pay an average annual salary of less than $54,000 a year will be eligible for the tax credit. Employers with fewer than 10 full-time-equivalent employees with wages averaging less than $26,000 per year may be eligible for the maximum tax credit amount.

The amount of the tax credit cannot exceed the total income and Medicare tax required to withhold from employees' annual wages, plus your share of the Medicare tax. Nonprofit or tax-exempt employers must meet the same criteria as other small businesses; however, their tax credits will be somewhat lower.

We can help you understand your potential eligibility for tax credits. Click below to schedule a no-obligation appointment with a CCSB expert:

When & How to Enroll in CCSB

Small businesses have the option to enroll whenever they choose. Once an employer has enrolled, Coverage and premiums are guaranteed for 12 months from the coverage effective date. Newly eligible employees may be added during the plan year with a qualifying event.

The first step in getting your small business enrolled in CCSB is getting a quote. Our CCSB Certified Insurance Agents can provide a quote based on your budget while also explaining coverage options and reference plans. To enroll in CCSB, we would need the following information:

  1. Employer name, as reported to the Employment Development Department (EDD)

  2. Federal Employer Identification Number (FEIN)

  3. State Employer Identification Number (SEIN)

  4. A copy of their local business license

  5. DE-9C reconciled by the employer

  6. Total number of employees

  7. Total number of full-time employees working 30+ hours per week

  8. Total number of part-time employees working 20 to 29 hours per week (if offering part-time employee coverage)

  9. Employee roster, including: address, hire date, date of birth, Social Security number or tax identification number

  10. Dependent information (if offering dependent coverage), including date of birth to determine age of the dependent

After the employer's application is approved by Covered California for Small Business, employees will select
their health insurance plan using the Application for Employees.
After enrollment, employees will receive standard plan documents including ID cards and Evidence of
Coverage for their selected health insurance carriers. An Explanation of Benefits will be sent directly
to each participant.

How to renew

For existing members, the annual employer open enrollment period begins at least 30 days before the start of the next plan year. Covered California will notify employers when it is time to prepare for their annual open enrollment.

We provide free help in renewing your employer health plan. Click below to call us or to schedule an appointment.

We’re here to help you make the right choice about Health Insurance for your Business and be happy with your decision!

That’s why Covered California for Small Business offers FREE, in-person, expert assistance to Hesperia, Victorville, Apple Valley, and the entire High Desert at:

Covered California
15461 Main Street, Suite 107
Hesperia, CA 92345