Small Businesses Face Challenges with New Health Care Rule: NFIB Calls for Reversal

The National Federation of Independent Business (NFIB) has expressed its disappointment with the final health care rule on short-term health plans, which limits coverage for small employers. This rule restricts small businesses’ ability to choose health coverage by limiting access to flexible and low-cost short-term health plans. NFIB had previously submitted comments to the administration opposing this rule.

Small business owners are seeking more affordable, flexible, and predictable options for themselves and their employees. However, this rule adds another layer of complexity and red tape to an already challenging landscape for small businesses. NFIB is urging the administration to withdraw this rule in order to better support small employers.

NFIB members have identified the rising cost of health insurance as one of their top concerns for over 40 years. 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. This underscores the importance of affordable health care options for small businesses and the need for policies that support their access to such coverage.