A Practical Guide to Small Group Benefits for Small Teams
Imagine running a small business where every team member wears multiple hats—including you. Between managing clients, keeping operations moving, and supporting your employees, the idea of sorting through health insurance options can feel overwhelming. Many owners face this same challenge, and the good news is that you do not have to navigate it alone. Small group benefits can simplify the process, ease the financial burden, and provide real value to your team.
One reason these plans are so appealing is their cost efficiency. Because risk is shared across your group, premiums are often lower than what individuals would pay on their own. Employers typically cover part of the cost as well, reducing employees' financial stress and helping everyone access quality coverage more affordably—even as 2025 small‑group premiums rise an average of 9.4%.
Greater Flexibility and Stronger Coverage
Small group plans also tend to offer a wider range of benefits compared to individual insurance options. This can include more robust provider networks, better prescription coverage, or additional wellness features that employees value.
Simple Eligibility for Small Teams
Qualifying is more accessible than you might think. Businesses with as few as two employees—including the owner—can meet the requirements for a small group plan. This opens the door for even the leanest teams to offer competitive benefits.
Tax Advantages That Make a Difference
For eligible employers, the Small Business Health Care Tax Credit can reduce premium costs by up to 50%, while qualifying nonprofits can receive up to 35%. This incentive alone makes group coverage far more feasible for many small employers.
Support for Morale, Wellness, and Retention
Beyond financial value, offering dependable health coverage gives your team peace of mind. That sense of security can boost workplace morale, increase retention, and support overall employee wellness—an investment that pays off in productivity and loyalty.
More small businesses are also considering alternatives like level-funded or self-funded arrangements to better manage rising costs. And for those seeking maximum flexibility, a QSEHRA allows you to reimburse employees tax‑free for individual plans or medical expenses—up to $6,350 for individuals and $12,800 for families in 2025.
If you’ve been weighing your options, now is a great time to explore whether a small group plan—or a QSEHRA—could be the right fit for your team. You don’t have to figure it out alone. Help is available to compare plans, walk you through the details, and find a solution that aligns with your goals and budget.
Offering meaningful benefits doesn’t have to be complicated or expensive. Reach out for a personalized review of your options and take the next step toward supporting your team’s well‑being.