1851

Managing a franchise comes with a lot of responsibilities, and one of the most important ones is taking care of your employees' health. But figuring out what health insurance you need to provide can feel like navigating a maze. That's where the Affordable Care Act (ACA) comes in, setting out rules for bigger franchise owners based on how many full-time equivalent employees (FTEs) they have and how their franchises are structured.For franchise owners, understanding these rules isn't just about following the law – it's about making sure their employees are well taken care of. It means exploring different health insurance options, from traditional group plans to newer ideas like&nbsp;<a href="https://www.franchise.org/advocacy/healthcare/association-health-plans-ahps?utm_source=1851franchise.com&utm_medium=article&utm_campaign=health-insurance-for-franchise-owners-2725067" target="_blank" rel="nofollow">Association Health Plans&nbsp;</a>(AHPs) and Health Reimbursement Arrangements (HRAs), and figuring out what works best for their business and their team.<h4>Health Insurance Obligations</h4>The requirement to provide health insurance to employees is contingent upon the number of franchises owned and the total number of FTEs. Federal regulations, particularly those outlined in the ACA, mandate health coverage for applicable large employers (ALEs) with 50 or more FTEs. Additionally, controlled groups where one entity owns multiple franchises must adhere to aggregation rules to determine eligibility for coverage.<h4>Available Health Insurance Options</h4>Here are several options for health insurance, according to&nbsp;<a href="https://www.peoplekeep.com/blog/health-insurance-options-for-franchises?utm_source=1851franchise.com&utm_medium=article&utm_campaign=health-insurance-for-franchise-owners-2725067" target="_blank" rel="nofollow">PeopleKeep</a>:Traditional Group Health Insurance: This popular option provides a familiar coverage structure for employees, offering reduced rates and comprehensive benefits. Franchisees can procure group health plans through insurance carriers or the Small Business Health Options Program (SHOP) marketplace.Supplemental Benefits: Integrating HRAs, Health Savings Accounts (HSAs), or Medical Flexible Spending Accounts (FSAs) with group plans enhances coverage by reimbursing out-of-pocket expenses not fully covered by the primary insurance, thus providing financial support for employees.Association Health Plans (AHPs): In June 2018, the Department of Labor implemented a rule facilitating greater access to AHPs. AHPs enable small businesses to join forces and buy insurance collectively, leveraging their combined purchasing power for lower premiums compared to individual plans. These AHPs, formed or expanded post-rule, adhere to ACA mandates, ensuring coverage for individuals with pre-existing conditions and eliminating annual or lifetime coverage limits.Health Reimbursement Arrangements (HRAs): HRAs offer flexible options like the Qualified Small Employer HRA (QSEHRA) and the Individual Coverage HRA (ICHRA). These options allow franchise owners to cater to varying employee needs by providing tax-free reimbursements for individual health insurance premiums and medical expenses.Health Stipends: Health stipends provide flexibility by offering set amounts for insurance premiums and qualified expenses, allowing franchise owners to tailor benefits according to budget constraints. However, stipends are subject to tax implications, requiring careful consideration.<h4>Prioritizing Employee Health</h4>Prioritizing employee health is not just a legal obligation, but also a fundamental aspect of fostering a productive and thriving workplace environment within franchises. By comprehensively exploring and leveraging available health insurance options, franchise owners can not only meet regulatory requirements but also demonstrate a commitment to the well-being of their employees, thereby contributing to the overall success and sustainability of their businesses.To learn more, check out these related articles:&nbsp; &nbsp;<ul><li><a href="https://1851franchise.com/how-to-buy-a-franchise-evaluating-your-options-2724900#most-recent-stories">How to Buy a Franchise: Evaluating Your Options</a></li><li><a href="https://1851franchise.com/how-to-buy-a-franchise-doing-your-homework-2724842#most-recent-stories">How to Buy a Franchise: Doing Your Homework</a></li><li><a href="https://1851franchise.com/how-to-buy-a-franchise-the-benefits-of-joining-a-franchise-over-starting-your-own-business-2724839#most-recent-stories">How to Buy a Franchise: The Benefits of Joining a Franchise Over Starting Your Own Business</a></li></ul>

Do franchise owners get health care?

1851 Franchise

Making sure employees have access to good health coverage isn't just about ticking boxes; it's about showing that you care about their well-being. 

Exploring Health Insurance Options for Franchise Owners: What You Need to Know

health-insurance-for-franchise-owners

Filta Environmental Kitchen Solutions

Filta Franchisee Feature - Leo Tartaglia - 1851 Franchise

Doubling Down on Dedication: Why Leo Tartaglia Reaffirmed His Commitment to Filta After a Decade

filta-franchise-leo-tartaglia

Melting Pot

Melting Pot team holding $1.2 million check addressed to St. Jude Children's Research Hospital

Melting Pot’s Million-Dollar Mission: A 20-Year Partnership With St. Jude That’s Changing Lives

melting-pot-st-jude-partnership

Paris Baguette Canada

Paris Baguette CDO Nick Scaccio Talks Franchise Growth, Training and Innovation 

Paris Baguette CDO Nick Scaccio Talks Franchise Growth, Training and Innovation on the Late Night Restaurant Show Podcast

paris-baguette-coo-nick-scaccio-franchise-growth-innovation

Comfort Keepers

Comfort Keepers - Butch and Niki Irwin - Father's Day - 1851 Franchise

A Legacy of Love: A Father-Daughter Journey To Bring Comfort Home

comfort-keepers-monroe-butch-niki-irwin

Minuteman Press International

Minuteman Press Franchise Owner Corey Sanders at his center in Greenville, SC.

Minuteman Press Franchise Review: From Business Consulting to Printing

minuteman-press-franchise-review-from-business-consulting-to-printing

Buying a Franchise Masterclass

 Franchise Opportunities

Get Support Buying a Franchise

How to Buy a Franchise White Paper

How to Buy a Franchise

How to Sell Franchises

How to Grow a Franchise

Find a Franchise Supplier

1851 Franchise Opportunities

Franchisor News

Franchisor Power Rankings

FranCamp Mastermind Summit

Franchise Resources

What ALEC-Laffer's Report Means for Franchising

Website Awards

Power Rankings

About 1851

Advertise on 1851

Contact 1851 Editorial

Terms of Use

1851 Login

GROWTH CLUB LOGIN

facebook

instagram

twitter

linkedin

youtube

Dave’s Hot Chicken Sold to Roark Capital in $1 Billion Deal to Fuel Global Expansion

daves-hot-chicken-sold-to-roark-capital-in-1-billion-deal-to-fuel-global-expansion

Homebuyers Keep Buying — And That’s Good News for Home Service Franchises - 1851 Franchise

Homebuyers Keep Buying — And That’s Good News for Home Service Franchises

homebuyers-keep-buying-and-thats-good-news-for-home-service-franchises

AI Could Push Unemployment to 20% — Fueling a Surge in First-Time Franchise Buyers - 1851 Franchise

AI Could Push Unemployment to 20% — Fueling a Surge in First-Time Franchise Buyers

ai-unemployment-impact-white-collar-job-loss

How To Sell Just One Franchise: What You’ll Learn at FranCamp NJ 2025

how-to-sell-just-one-franchise-what-youll-learn-at-francamp-nj-2025

House Passes Tax Relief Package With Key Benefits for Small Businesses and Franchises

house-passes-small-business-tax-relief-bill-2025

McDonald’s To Hire 375,000 Workers as It Prepares for Major U.S. Expansion

mcdonalds-to-hire-375000-workers-as-it-prepares-for-major-us-expansion

Restaurant Business: Crumbl Cools Its Expansion, Refocuses on Profitability

restaurant-business-crumbl-cools-its-expansion-refocuses-on-profitability

How Car Sales Taught Buddy's Home Furnishings’ Mitchell Lee the Secrets of Franchise Development

how-car-sales-taught-buddys-home-furnishings-mitchell-lee-the-secrets-of-franchise-development

The Ultimate Guide to Selling Franchises: How To Create a Strong Incentive

how-to-build-strong-incentives-to-attract-prospective-franchisees

Sola Salons Franchisee Grows Salon Freedom Into a Multi-State Powerhouse 

sola-salons-franchisee-grows-salon-freedom-into-a-multi-state-powerhouse

Dan Yangas Brings Family Flooring Legacy Full Circle With Footprints Floors Franchise in Naperville 

Dan Yangas Brings Family Flooring Legacy Full Circle With Footprints Floors Franchise in Naperville, Illinois

dan-yangas-brings-family-flooring-legacy-full-circle-with-footprints-floors-franchise-in-naperville-illinois

What You Need To Know About Low-Cost Franchise Opportunities

what-you-need-to-know-about-low-cost-franchise-opportunities

busy-bee-jumpers-consumer-positioning-image-kids-jumping-bounce-house

Delivering Fun With a Smile: How Busy Bee Jumpers Earns 5-Star Raves From Families Across New England

busy-bee-jumpers-party-rentals

Exploring Health Insurance Options for Franchise Owners: What You Need to Know

MORE STORIES LIKE THIS