Health Insurance for Small Business Owners

Whether it is just you, you and a spouse, or a team of 40, there is more than one way to cover a business owner. I am an independent broker licensed in 31 states. I compare private plans, small group plans and HRA options side by side so you can see what fits your budget and your people.

Own the business and nobody else is on payroll? You are shopping as an individual. Private PPO plans are often the lowest-cost route for healthy owners. See your options →

If it is just you (or you and your spouse)

Most carriers will not write a small group plan without at least one W-2 employee who is not the owner or the owner's spouse. So owner-only businesses usually buy individual coverage:

• Private PPO plans. Medically underwritten, broad nationwide networks, and you can apply any time of year. Often cheaper than full-price Marketplace plans for healthy applicants.
• Marketplace (ACA) plans. Guaranteed acceptance and full essential health benefits. A premium tax credit is available only if household income is at or under 400% of the poverty level (see the 2027 limits).
• The self-employed health insurance deduction. Sole proprietors, partners and more-than-2% S-corp shareholders can generally deduct premiums for themselves and their family.

If you have employees

• Small group health insurance. A traditional group plan with the premium shared between you and your team. A strong recruiting and retention benefit.
• ICHRA (Individual Coverage HRA). Any size employer sets a monthly allowance, and employees buy their own individual plan and get reimbursed tax-free. Predictable cost for you, more choice for them.
• QSEHRA. For employers with fewer than 50 full-time equivalent employees and no group plan. For 2026, reimbursements can go up to $6,450 a year for self-only coverage and $13,100 for family coverage.
• Supplemental benefits. Dental, vision, accident and critical-illness coverage can be added to any of these. How supplemental coverage works.

One catch: sole proprietors, partners and more-than-2% S-corp shareholders generally cannot reimburse themselves through their own HRA. They usually use the self-employed deduction for their own coverage instead. Your CPA can confirm what applies to your entity.

How I help

• Price owner coverage as an individual and as part of a group, so you see both numbers.
• Compare group carriers and HRA set-ups for your headcount and budget.
• Handle the applications and renewals, with no broker fee.

Questions I hear a lot

Can I buy a small group plan if I am the only person in my business?

Usually not. Most carriers need at least one W-2 employee who is not the owner or the owner's spouse. Owner-only businesses usually buy individual or private coverage and take the self-employed health insurance deduction.

Can I deduct my own health insurance as a business owner?

Sole proprietors, partners and more-than-2% S-corp shareholders can generally take the self-employed health insurance deduction. S-corp owners need the premiums added to their W-2 first. Confirm the details with your tax professional.

What is an ICHRA?

An Individual Coverage HRA lets an employer of any size reimburse employees, tax-free, for individual health insurance they buy themselves, instead of offering a group plan.

What is a QSEHRA and what are the 2026 limits?

A Qualified Small Employer HRA is for employers with fewer than 50 full-time equivalent employees and no group plan. For 2026 it can reimburse up to $6,450 a year for self-only coverage and $13,100 for family coverage.

Do you charge business owners a fee?

No. The insurance company pays the broker, whether it is an individual or a group plan.

Related: earn too much for a subsidy? · self-employed guides by state · health insurance in all 31 states

Posey Health Solutions · National Producer Number 20609967 · licensed in 31 states. This page is general information, not tax, legal or plan-specific advice. Private plans are medically underwritten and approval is not guaranteed. Plan availability varies by state and county.