Small Business Owners Urge Administration to Withdraw New Health Care Rule that Limits Flexible Coverage Options

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

Small businesses already face numerous challenges, and this rule adds another layer of complexity and red tape. NFIB is urging the administration to withdraw this rule to better support small employers. According to Jeff Brabant, NFIB Vice President of Federal Government Relations, this rule is a step in the wrong direction for small business owners who are seeking more affordable, flexible, and predictable options for themselves and their employees.

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.