Millions of Americans receive health insurance through their employers. But after years of skyrocketing premiums, the number of small businesses offering health insurance has plummeted to fewer than one in three. This has made it harder for small businesses to recruit and retain talent and reduced options for workers looking for coverage. To make matters worse, small businesses that can afford to keep offering coverage must compete on an uneven regulatory playing field with larger corporations.
Association Health Plans (AHPs) offer a solution to these challenges. AHPs level the playing field for entrepreneurs by allowing them to band together to provide affordable coverage for themselves and their employees. The Trump administration took significant, positive steps towards making AHPs more accessible for small businesses, entrepreneurs, and sole proprietorships. By allowing associations to exist primarily for health purposes, permitting businesses across different industries and regions to band together, and allowing married business owners who run a business together to join AHPs, access to new affordable options was greatly expanded. Indeed, thanks to this rule, up to four million Americans are expected to enroll in affordable, quality health coverage through AHPs.
In fact, it is already happening.