Employers are averaging 12% of payroll for employee coverage currently. During transition, employers who offer ACA compliant coverage to employees may opt out of the health security assessment for those employees. Our proposed health security assessment of 8.5% with an exemption on up to $12,000 in pay per employee each year means the average employer will pay under 7% of payroll on average to participate. This will be an appealing option and many employers will simply be relieved to have a less expensive (and potentially free) option to provide coverage. Employees will be able to opt in during the transition and decline their employer coverage by paying the health security assessment on their pay themselves. Once 51% of residents in the state are enrolled in a state-administered health insurance and employers will no longer be able to opt out. Employers may pay premiums employees and their spouses premiums (if they owe them) and may continue to offer supplemental coverage.
Our Initiative doesn't restrict employers from offering additional insurance coverage or any residents from purchasing additional insurance coverage.