Small Business Health Insurance Premium Relief Program

Governor Mills on October 18 announced the Maine Jobs & Recovery Plan. The Governor’s Plan, approved by the Legislature, will invest nearly $1 billion in federal American Rescue Plan Act funds to achieve three goals: immediate economic recovery from the pandemic; long-term economic growth for Maine; and infrastructure revitalization. Included in the Plan is $39 million to launch the Small Business Health Insurance Premium Relief Program through the Maine Bureau of Insurance.

Beginning on November 1, 2021 and running through April 30, 2023, the program will help businesses with 50 or fewer employees to offer more affordable group health insurance to their employees by providing a credit applied to the premium for fully insured, community-rated, ACA-compliant major medical small group plans. It is not available for stand alone dental or vision plans. All the insurance companies who offer fully insured community-rated, ACA-compliant major medical small group plans in Maine – – Aetna, Anthem, CHO (Community Health Options), Harvard Pilgrim and United Healthcare – – are participating in the program. The premium credit available is based upon who is covered:

  • Employee $50
  • Two adults $100
  • One adult + child $80
  • Two adults + child $130

The employer is required to share the credit with its employees at a minimum in the same proportion as the current premium cost is shared by the employer and employee. The employer is free to allocate more than the proportional share with its employees if it chooses to do so.

For more detailed information on the Small Business Health Insurance Premium Relief Program, please go to the Bureau of Insurance webpage.

If we can be of assistance, please contact Anne O’Donovan, aodonovan@eatonpeabody.com, Ed Feibel, efeibel@eatonpeabody.com, or Jack Bjorn, jbjorn@eatonpeabody.com.