Insure Montana Small Business Health Insurance Program The Small Business Health Care Affordability Act, was requested by State Auditor John Morrison and Governor Brian Schweitzer and was signed into law in May of The program is designed to give tax credits to small businesses already offering health coverage and to provide monthly assistance and membership in a purchasing pool to businesses that have not offered health insurance in the past. About Montana’s Population: Montana’s uninsured rate ranks among the worst in the nation. One in five Montanans or about 170,000 residents have no health insurance. 53% of Montana’s uninsured population works for a small business. 80% of small firms not offering insurance would do so if they could afford the premiums.

Insure Montana Purchasing Pool and Tax Credits Eligibility Requirements: –Businesses with 2-9 full time employees where no employee earns more than $75,000 (excluding the owner) meet the initial criteria. –In order to be eligible for the Purchasing Pool, a business must not have offered group health insurance in the past 24 months. –Purchasing Pool participants receive monthly employer incentive payments and employee assistance payments –In order to be eligible for a Tax Credit, a business must currently pay some or all of the cost of group health insurance for their employees. The program also provides additional Tax Credits when employers pay insurance premiums for the employee’s spouse or their dependents.

Insure Montana Implementation Purchasing Pool Coverage began January 1, previously uninsured businesses enrolled 3,715 lives covered Average monthly assistance amount: $158 (per employee) Average monthly incentive amount: $203 (per employer) Funding available for approximately 675 businesses Tax Credits Credit effective January 1, businesses enrolled 3,500 lives covered Average yearly tax credit: $3,283 Insure Montana Funding Funded by $1 per pack cigarette tax passed by voters. Insure Montana was allocated $13 million dollars for the first two years. (FY 2006, 2007) For the upcoming biennium $20 million dollars has been allocated (FY 2008, 2009)

Benefits of Pool Coverage Coverage available through Blue Cross Blue Shield of Montana Employer premium incentive payments and employee premium assistance payments. Two comprehensive plans offered Innovative Expansion of Insure Montana Included in 2007 Legislation: 1. Addition of wellness benefit. 2. Possibility of changing group size to include sole proprietors and groups with up to 15 full time employees. 3. Stop loss (reinsurance) program with a specific corridor of risk.

Additional Insure Montana Information Lisa Crowley, Program Director (406)