• All small groups (2-49 employees) have guaranteed issue. No one is rejected. No one is waived or has a condition that can be limited by riders.
• The group premiums must fall within a range of plus or minus twenty-five percent (25%) of an index depending upon health underwriting for the group. About 70% of the groups come in at the -25% rate. All of the health quotes are at the minus twenty-five percent rate. Actual rates could differ due to underwriting, with the maximum rate being plus twenty-five percent (+25%).
• The employer is required to fund at least 50% of the single employee cost of health insurance. They can choose to contribute more but not less.
• The employer establishes the eligibility requirements for their group. The hourly requirement can be anywhere from 20-40 hours per week. The minimum working time can be 30, 60 or 90 days. Certain classes of workers can be excluded - like seasonal workers, student interns, etc.
• Seventy-five (75%) of the eligible workers, not including those who waive out for other group coverage, must participate. An example would be: 16 eligible employees, 4 waive out due to group coverage with their spouse, of the remaining 12 employees, 9 must participate in the plan.
• Minnesota laws and IRS regulations stipulate that employer contributed non-taxed health insurance benefits must be group benefits billed to the employer.
• The Minnesota Small Business Plan stipulates that pre-existing conditions treated in the last six months will have limited coverage for the next twelve months (a 6/12 coverage provision). Prior health insurance will count towards the 12 months pre-existing condition clause. A person with other prior individual, group or COBRA coverage for longer than 12 months will have no pre-existing conditions limitation. This is called a "seamless coverage" provision.

Dale W. Hedstrand