No, not if you have fewer than 50 full-time employees. The federal rule that requires employers to offer coverage starts at 50, and Colorado doesn’t add a requirement of its own. Below that line, it’s your call.
Plenty of small Colorado businesses offer something anyway, mostly because it helps them hire and keep good people. If you’re thinking about it, you have more options than a traditional group plan.
A small group plan. In Colorado, small group now means 1 to 50 employees. You pick a plan, cover part of the premium, and your team enrolls.
A reimbursement arrangement. Instead of buying a plan, you set aside tax-free money each month that employees use toward their own coverage. It’s simpler to run, and you control the budget.
Nothing formal. Your employees buy their own plans, and many qualify for help with the cost. We explain how that side works in using the marketplace in Colorado.
There may be a tax credit. Very small employers, those with fewer than 25 full-time workers and modest average wages, can qualify for a federal credit if they pay at least half of employee premiums and buy through the state’s small business marketplace.
If you’re a founder with one or two people, our Boulder health insurance page covers what startups usually do first.
We set up group plans and reimbursement arrangements for Colorado businesses, and sometimes our honest answer is that your team would do better on individual plans. We’ll tell you which, and why. If you’re sorting out the rest of your coverage at the same time, start with a Colorado business owner policy.