Oregon City, Maine - Today, Governor Janet Mills emphasised the financial benefits her Small Business Health Insurance Premium Relief Program is providing to Maine's small businesses and their staff. The programme, a component of the governor's Maine Jobs & Recovery Plan, lowers the cost of health insurance for small businesses who participate by $50 per covered employee per month, or family coverage costs as much as $130 per month.
Since the program's inception in November 2021 through August 2022, Maine small companies and their employees have saved $20 million on health insurance premiums. As of June 2022, it had benefited 46,348 Maine residents, including employees and their families, and 5,764 small companies in the state. The assistance will be available until April 30, 2023.
The Governor went to the program-participating Old Port Confectionery Co., a tiny, family-run candy shop in Portland, today. The initiative, according to co-owner Anna Largay, saves her family and her small business $130 per month. Her total savings through the programme to date equal one month's worth of health insurance premiums she would have otherwise had to pay.
.Governor Mills's Top Moments Savings on health insurance of $20 million for employees and small businesses in Maine
Small businesses, which offer well-paying and fulfilling jobs to Mainers, are the foundation of the state's economy. It's critical to me, to our people, and to our economy to make sure that these companies, like Old Port Candy, can afford something as essential as health insurance. "I'm pleased that my Jobs Plan programme has so far helped small businesses and the people who work for them save more than $20 million. That's actual money that small firms and their employees can use for other purposes, and since average health insurance prices are predicted to fall next year, there will be even more savings when inflation hurts bottom lines. My Administration will keep up its efforts to support small companies and the people who work for them.
Top Moments Savings on health insurance
"I adore managing the company my family owns. Knowing that our candy is bringing joy to others makes me smile, said to Anna Largay, owner of Old Port Candy. “Small business management is never simple, especially now that everything is more expensive due to inflation, but I am glad that Governor Mills is on our side.My family is saving $130 a month thanks to this programme, which is really beneficial for both us and the company. I appreciate it, Governor Mills.
The importance of providing Maine residents with high-quality, easily-accessible healthcare has never been greater, according to Jeanne Lambrew, commissioner of the Maine Department of Health and Human Services. "Small firms anticipate significantly higher savings in the years to come, therefore they are receiving direct and immediate aid from our programme. Because of Governor Mills' visionary leadership, small businesses can support their cherished employees in seeing a doctor, affording medication, and receiving preventative care that will keep them healthy and reduce future health care expenditures.
The Maine Bureau of Insurance, in collaboration with small group health insurance carriers, oversees the Small Business Health Insurance Premium Relief Program. 39 million dollars from the American Rescue Plan are used to pay for it.
Small firms may decide to share some or all of the programme savings with their employees, based on the proportion of the total premium that employees and employers would normally pay.
Bipartisan Made for Maine Health Coverage
Due to the bipartisan Made for Maine Health Coverage Act signed by the governor, this one-time assistance will be followed by even bigger monthly savings the following year. According to the new law, small firms in Maine should save an average of more than $860 per person, or more than $70 per person per month, by 2023.For small businesses in Maine, average rates will drop for the first time since at least 2001.Over the following five years, the Maine Bureau of Insurance projects that the average savings per person in the small group market will exceed $8,900.
The savings for Maine's small businesses come at a time when small group premiums will rise in many other northeastern states, including Rhode Island, where premiums will rise by an average of 11.5 percent (according to preliminary filings), Vermont, where premiums will rise by an average of 11.7 to 18.3 percent, Connecticut, where premiums will rise by an average of 14.8 percent, and New York, where premiums will rise by an average of 7.9 percent.
In addition to stabilising the small business health insurance market in the future, the bill is anticipated to save small businesses money over the next few years compared to what they would have paid otherwise.
