Tobacco Use

In many cases, employees in small group plans can avoid or reduce tobacco surcharges by participating in tobacco cessation programs. Insurers often provide these programs as part of their health plans, and participation can lead to reduced surcharges or even waiving them entirely. This approach not only helps reduce the…

Yes, there are restrictions on applying tobacco surcharges in small group plan premiums. While the Affordable Care Act allows for tobacco surcharges, the exact amount and application of these surcharges can vary by state. Some states may have stricter rules or even prohibit tobacco surcharges altogether. Additionally, insurers must follow…

Tobacco use can significantly impact premium rates in small group health insurance plans. Insurers are allowed to charge higher premiums to tobacco users, a practice known as tobacco rating. The Affordable Care Act permits insurers to charge tobacco users up to 50% more than non-tobacco users in some states. This…