Michigan Small Business Health Insurance

There are different Michigan health insurance laws regarding small businesses or the self-employed. Often these types of health insurance policies are easier to qualify for than an individual health insurance policy, even if you are not in the best of health.

This guide:

  • Describes small business health insurance laws in Michigan.

  • Briefly explains self-employed Michigan health insurance.

  • Alerts you to a beneficial tax deduction.

We also have a guide to Michigan health insurance for families and individuals.


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Michigan small business health insurance regulations

Michigan small business health insurance laws require Michigan health insurance companies to sell any small business a group health insurance policy.

Additionally, if a small business has 2 to 50 employees they must be offered the same Michigan small business health insurance policy sold to other small businesses.

Michigan health insurance companies, however, can mandate minimum participation requirements. Under this stipulation, a certain percentage of employees or members must purchase the offered health insurance policy or the entire health insurance policy for the small business will be rescinded.

Furthermore a stipulation requiring that the business owner contributes a specific amount toward his employee's premiums can also be instituted by Michigan health insurance companies.

In addition, the price of Michigan small business health insurance is only somewhat limited. Premiums for Michigan small business health insurance can be more due to the group's health status and risk unless you are purchasing insurance from Blue Cross Blue Shield. The the price can not be based upon these factors.

Also a protection for groups insured under small business health insurance, Michigan health insurance regulations due not allow policies to be canceled because one of the insured individuals falls ill.

Self-employed Michigan health insurance

States differ in their treatment of self-employed health insurance. As a self employed business owner living in Michigan you can not purchase small business health insurance if you have no other employees. Instead you should look into purchasing an individual Michigan health insurance policy.

If you are self employed, however, and you purchase your own individual Michigan health insurance policy, you can benefit from a large tax deduction. A percentage of your annual Michigan health insurance premiums is deductible from your taxes if you choose to itemize. Depending upon the year, you can deduct either 70, 80 or 90 percent of your premiums.

More MI small business health insurance help

If you want more help getting the a good health insurance policy, read our guide to small business health insurance.

To find out more about MI health insurance laws and regulations, contact the state's Consumer and Industry Services.

Want to learn even more?

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