Frequently Asked Questions
Q. What is the difference between Healthy Texas and “regular health insurance”?
A. The main difference is cost. Some commercial health insurance plans cost about 30 percent more than Healthy Texas. The other big difference is that Healthy Texas is targeted to small businesses that have not offered health insurance in the past 12 months.
Q. How good is the Healthy Texas benefits package?
A. Healthy Texas includes all of the major health care services available through health insurance plans that big companies offer their workers. This includes prescription drugs, treatment for catastrophic injury and illness, hospital stays, and doctor visits.
Q. If the benefits are so good, how can Healthy Texas cost so much less than “regular health insurance”?
A. The State of Texas shares some of the risk with the private health insurance companies, which makes it possible for the monthly premiums to be lower.
Q. Why isn’t Healthy Texas available to every business in Texas?
A. Healthy Texas has eligibility rules so that its effects go where they are needed most: to small companies that want to offer health insurance but have not been able to afford it.
Q. With all the budget cuts, how can the State of Texas afford this?
A. The legislature has made this a priority. The State of Texas expects to earn a return on its relatively small investment in Healthy Texas that will help all Texans.
Q. If my small business signs up for Healthy Texas, will I be eligible for the federal tax credit?
A. The federal tax credit is generally available to employers with fewer than 25 full-time workers. More information about the tax credit is available at www.irs.gov.
Q. For the purposes of Healthy Texas, what is an “eligible employee"?
A. An eligible employee is someone who:
- Works at least 30 hours a week
- Is not seasonal, temporary, or substitute
- Does not already have health insurance through another source like Medicaid, Medicare, a spouse’s health plan, or through a retirement plan
Q. If my small business is eligible for Healthy Texas, can I also make it available to my part-time employees?
A. Yes. While eligible employees are used to determine who qualifies for Healthy Texas, an employer can decide to offer Healthy Texas to part-time employees.
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Last updated: 08/29/2011
