Church Health Insurance and the Affordable Care Act
Over 10 years ago, the Affordable Care Act hit everyone by surprise. Many organizations scrambled to find out how it would impact them and what they needed to do in order to comply with this new normal. Many Churches did not have to change anything as they fell well below the employee mandate, which would require them to offer a church group health insurance plan.
Other churches that have a preschool and/or K-12 school found themselves faced with mounting costs, assuming they met the total employee count that required them to offer a group health plan. As many organizations are aware medical insurance has turned into one of the number one highest cost for a church ]to take on.
Many churches have reduced their group health insurance program down to the lowest level of coverage offered. Churches have done this in an effort to contain costs, which has transferred more of the burden onto each employee.
Churches have implemented HSA and HRA plans to assist their employees in using pre-tax dollars to pay for their medical costs. Some churches have also looked into health sharing ministries, but face challenges with these programs as they have pre-existing condition exclusions that are part of these programs.
Church leaders and members have a responsibility to provide their pastor’s with health insurance for them and their families. Their compensation package should provide them with a group health insurance plan or provide additional monies so they can obtain an individual health plan.
It is important to talk with a tax professional before making any decision, to ensure your church group health insurance plan is in compliance with your local laws.
Church healthcare plans must be a “qualified” health plan. At Integrity Now Insurance Brokers, we have the expertise you need you help you find the best group health insurance plan for your church.
As Church Insurance Brokers we are here to help you with all of your church insurance needs. Reach out to one of our church insurance agents and we will help you secure a group health insurance plan that meets your church’s needs.
You can give us a call or email us to learn more about various church insurance policies, including church property insurance, church liability insurance, workers’ compensation insurance, house of worship insurance, commercial auto insurance, and more. We offer services in several states, including Arizona, California, Colorado, Nevada, Ohio, Texas, and Washington.
Integrity Now Insurance Brokers, Inc.