No, a business does not need to have an established Section 125 plan to participate in our SHOP. Here are the eligibility requirements for SHOP participation:

  • 50 or fewer full-time employees in 2014
  • SHOP will be opened up to employers with 100 or fewer full-time employees in 2016
  • Tax credits will be available in 2014 and 2015 for employers with 25 or fewer employees and average company wages less than $50,000/year (excluding the owner(s) and owner(s)’ families).

Only employers with more than 50 Full Time Equivalent employees will be subject to penalties. These employers must offer a health insurance package that meets the Federal Essential Health Benefits (EHBs) and does not cost their employees (not including dependents) more than 9.5% of their household’s annual salary.

The penalty for employers with more than 50 FTEs who do not offer the coverage as outlined above will be $2,000 x (FTEs-30). For example, if an employer had 51 full time employees and did not offer coverage that meets the requirements, the employer would have to pay a penalty of $42,000 ($2,000 x 21 = $42,000).

Posted in: Employers

State of Nevada

Nevada Health Link is brought to you by the State of Nevada Silver State Health Insurance Exchange

The Official Site of the Silver State Health Insurance Exchange | Copyright ©2017 State of Nevada - All Rights Reserved | Privacy Policy

Review the Silver State Health Insurance Exchange Nondiscrimination Statement here in English and here in Español.