Small Business Health Insurance Help From CHOICE Act
Posted Mar 18 2009 4:21pm
A representative in the U.S. House of Representatives will reintroduce legislation to help small employers pay for their employees’ small business health insurance, reports Astrid Fiano in DOTMed Business News. The CHOICE Act, according to sponsor and chair of the House Small Business Committee Nydia Velasquez, will do the following:
Offer a tax credit equal to 65% of the cost of health insurance offered to employees
Allow multiple small companies to pool their employees in voluntary health collectives, which will result in lower health insurance rates because of the reduction in insurers’ risk
Set the stage for a possible health insurance mandate for small employers, to be partly paid for by the aforementioned tax refund
The bill promises to lift some of the burden off the small companies that are known to be major drivers of the American economy and has bipartisan support.