Utah Group Health Insurance & Employee Benefits Plans

Utah Group Health Insurance & Employee Benefit Plans

For the past 25 years, Taylor Benefits Insurance has been a leader in providing affordable and comprehensive group health insurance for companies all across the State of Utah.  Taylor Benefits is able to customize packages that meet your company’s specific needs while staying within the budget as you offer group plans.

We are adept in handling businesses in all industries and of different sizes, located in large cities like Salt Lake all the way down to smaller suburbs like St. George. 

We specialize in the following:

Taylor Benefits is unlike traditional insurance providers because we operate as an independent agent, allowing us to truly tailor-make policies and packages by utilizing insurance products from a large variety of different companies.  No two businesses are the same, and we get that, so we customize options based specifically on your company’s requirements in accordance with the affordable care act.

Taylor Benefits has worked directly with Utah-based companies for as many years as we have been in business, so we are uniquely qualified to meet your insurance needs.  Our expertise in all things insurance-related makes us the perfect partner to team up with to reap the best health insurance products possible.

Call us today at the number on the top of the page for a FREE estimate and available group health insurance options in Utah, or complete the simple form on the right for a no-obligation, customized proposal for your Utah-based business.

Utah Large Group Health Insurance Plans

The ACA mandates that employers with fifty or more employees offer their employees affordable large-group health insurance. To meet the definition of “affordable,” the employer’s plan must cost the worker less than 9.12 percent of the employee’s gross household income.

So, if an employee earns $50,000, the affordability threshold is approximately $4,560 for that individual’s premium share. However, the rule only applies to employee coverage without considering what it costs for dependents to be included.

Even if the dependent coverage costs twice as much, the family would not be eligible for marketplace participation because only the worker’s premium counts for the affordable definition. In Utah, over eighty percent of full-time employees are offered insurance by their company. Even better, the average employee contribution to the premium cost is 5.2 percent of the median income.

The coverage must also meet specific coverage standards to demonstrate comprehensive protection. The two indicators are:

  1. The plan is intended to pay at least 60 percent of the total cost of medical services for a “standard” workforce population, and
  2. The benefits include substantial coverage of inpatient hospitals and doctors’ professional services.

Finally, every plan must cover the ten designated “minimum essential coverage benefits” outlined by the Affordable Care Act:

  1. Ambulatory patient services (outpatient care)
  2. Emergency services
  3. Hospitalization, including surgical and medical expenses
  4. Maternity and newborn care, including delivery
  5. Mental health, pre-existing conditions, and substance use disorder services
  6. Prescription drugs
  7. Rehabilitative services and devices
  8. Laboratory services
  9. Preventative and wellness services, including chronic disease management
  10. Pediatric services, including dental and vision care for children under the age of 19

Note that employers of any size can offer group coverage. Also, any employee who does not offer minimum essential coverage may face penalties if at least one employee uses premium tax credit to obtain health care insurance.

There are unique additions to this list of required items in many states. Utah added three:

  • Durable medical equipment (specifically prosthetic devices)
  • Diabetes care management
  • Reconstructive surgery following mastectomy

Utah Small Business Health Insurance Plans

Small businesses may feel constrained by the high cost they will incur to offer health insurance. Many large companies self-fund the programs, which allows them to save money in many cases and manage cash flow better. But for smaller organizations, the exposure may cause reluctance to take that approach.

One option for smaller companies is employer contribution to healthcare costs by establishing a qualified Small Employer Health Reimbursement Arrangement. Eligible small businesses may assist employees by facilitating their use of pre-tax funds for healthcare while avoiding the burden of administering a healthcare program.

Talk to your Taylor Benefits Insurance specialist to know how Utah small business health insurance work and how many employees you need to qualify.

Relevant Statistics

  • Over 85% of businesses in Utah provide group health insurance coverage for their employees.
  • The average premium for group health insurance plans in Utah is $470 per employee per month.
  • Utah has a 93% enrollment rate for eligible employees in group health insurance plans.
  • More than 75% of individuals covered by group health insurance in Utah have access to dental and vision benefits.
  • The average deductible for individual coverage in Utah group health insurance plans is $1,200.

General Facts

  • Utah offers group health insurance plans for businesses with two or more employees.
  • Employers in Utah can choose from a variety of coverage options to provide their employees with healthcare benefits.
  • Group health insurance in Utah typically includes medical, dental, and vision coverage.
  • These plans often have lower premiums compared to individual health insurance plans.
  • Utah group health insurance plans must comply with state and federal regulations to ensure coverage for essential health benefits.

Utah Employee Benefits Plans and Employee Benefits Packages

Utah doesn’t mandate paid or unpaid time off for employees. However, employers understand the need to compete for talent by providing the health benefits that employees want and need. Almost half of Utah employees have dental care, and 59 percent work for a company with an EAP.

Forty-six percent report that they have wellness offerings, including exercise programs, health screenings, stress management support, and other components.

Frequently Asked Questions About Health Insurance And Employee Benefit Plans in Utah

Utah health insurance plan frequently asked questions are summarized below:

What Are the Benefits of Large Group Health Insurance Plans in Utah?

Utah large group health insurance plans are the best choice for employers with more than 50 eligible employees. The biggest advantage of large-group health insurance plans is their low cost, as they offer significant discounts for coverage.

How Do Small Business Group Health Insurance Plans Work in Utah?

Utah small business group health insurance plans are available in various forms.

Some small businesses take a traditional approach, offering a standard medical insurance policy and sharing the expense with the employees.

Self-funding is an option that is not as widespread in small businesses (compared to large organizations) because of the financial risk. With self-funding, the company bypasses an insurer and simply pays employee medical claims directly. The approach can save money and improve cash flow but also exposes the employer to potential losses if employees have high claims.

Group Health Reimbursement plans to combine the features of an insurance policy with an additional allowance the employee can use for non-reimbursed expenses.

Another option is to fund a Qualified Small Employer Health Reimbursement Arrangement (QSEHRA). The employer decides how much to contribute to the account, and the employees use the funds to pay for qualified insurance coverage and related expenses. Plus, employees may qualify for a tax credit of up to 35% of the insurance cost.

Last but not least, Associate Health Plans (AHPs) are also considered risky for small businesses. AHPs are created when several smaller businesses within the same industry or region join forces to get coverage from an insurance company for a larger group health insurance plan.

How Much Do Employers Pay for Health Insurance?

Large companies covered by the ACA requirements must ensure that the employees’ premium cost is less than 9.12 percent of their gross income, not including dependent coverage. The average cost of coverage in Utah is reasonable, with the employer paying an average of $5,132 for individual coverage.

Written by Todd Taylor

Todd Taylor

Todd Taylor oversees most of the marketing and client administration for the agency with help of an incredible team. Todd is a seasoned benefits insurance broker with over 35 years of industry experience. As the Founder and CEO of Taylor Benefits Insurance Agency, Inc., he provides strategic consultations and high-quality support to ensure his clients’ competitive position in the market.

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