Small business employees typically chose coverage under their spouse's insurance when their husband or wife works at a larger firm, a recent study reports.

The study released by the Office of Advocacy of the U.S. Small Business Administration reports that 47 percent of small firm workers with a large firm spouse are covered by dependents, while only 23.5 percent of small firm workers who have a small firm spouse are covered as dependents.

Out of 3,000 employers with 200 people or less surveyed in 2007, only 61 percent offered employees some sort of health insurance, according to USA Today. The study, which analyzed data from the Census Bureau's Annual Demographic Survey of the Current Population Study from 1995-2005, also reveals:

•  Large firm employees who lose health care coverage do not necessarily shift coverage to the small firm employed spouse. 
•  Children are more likely to have dependent coverage if a large firm employs one or both parents. 
•  Children who lose large firm supplied heath insurance do not necessarily shift coverage to the small-firm employed spouse.

"This report uncovers new information about an area of health care coverage that has been little examined in the past," says Jules Lichtenstein, economist for the Office of Advocacy, in a release. "It points out the danger of only looking at single workers to determine coverage. Many times workers have other options."

--Kori Kamradt
kkamradt@safnow.org

 


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