Small Business Health Insurance Crisis: How the Final Health Care Rule on Short-Term Plans is Adding Another Layer of Complexity and Red Tape

Small businesses are facing numerous challenges, and the recent final health care rule on short-term health plans is adding another layer of complexity and red tape. The National Federation of Independent Business (NFIB) has expressed disappointment with this rule, which limits access to flexible, low-cost, short-term health plans for small employers. NFIB Vice President of Federal Government Relations Jeff Brabant stated that this rule is a step in the wrong direction for small business owners who seek more affordable, flexible, and predictable options for themselves and their employees.

Small businesses already face numerous challenges, including rising health insurance costs. A recent survey conducted by NFIB revealed that 56% of small employers currently offer health insurance to employees, while 44% do not. The primary reason cited by small employers for not offering health insurance is the cost, with 65% of respondents stating this as the main factor. Furthermore, 98% of small employers are concerned that the cost of providing health insurance to their employees will become unsustainable in the next five to ten years.

NFIB members have identified rising health care costs as one of their top concerns for over 40 years. This rule restricts small businesses’ ability to choose health coverage by limiting access to affordable options such as short-term health plans. NFIB is urging the administration to withdraw this rule to better support small employers who need more flexibility and affordability in their healthcare choices.

In conclusion, the recent final health care rule on short-term health plans limits access to affordable options for small businesses seeking more flexibility and affordability in their healthcare choices. Small businesses already face numerous challenges such as rising healthcare costs and this rule adds another layer of complexity and red tape. NFIB members have identified rising healthcare costs as one of their top concerns for over 40 years, and they urge the administration to withdraw this rule in order to better support small employers.