Tips to Heal Your Business's Health Care Dilemma

Small business has become the engine that drives the American economy. In fact, according to the U.S. Department of Commerce, Bureau of the Census and advocacy-funded research by Kathryn Kobe, small businesses in the United States employ about half of all private-sector employees and generate 60 to 80 percent of new jobs.

Within that realm, Hispanic companies are playing a major role as the fastest growing segment of America's business growth. In 2002, according to the U.S. Department of Commerce, Hispanic-Americans owned 6.6 percent of all U.S. businesses -; a number that continues to climb. This growth can also be evinced in the ever-increasing buying power of Hispanics.

"Research has shown that the buying power of Hispanics will exceed $860 billion in 2007 and $1.2 trillion five years from now," said Hector Barreto, chairman of the Latino Coalition and former administrator of the U.S. Small Business Administration (SBA).

However, specific challenges are threatening to squelch that growth. According to the SBA, many Hispanic businesses do not survive their first two years in business.

One problem is that many are small businesses with a low number of employees, which brings unique concerns to light. The SBA has stated that businesses with fewer than 20 employees spend 45 percent more per employee than larger firms to comply with federal regulations -; and health care tops the list of expenses. As a result, small businesses are at a serious disadvantage. However, more and more large insurance companies are stepping up to the challenge. Aflac, for example, is working with small business owners to provide a variety of options and to educate employers about these options so that they can make informed choices.

The following tips from Aflac may help guide small business owners looking for health care benefits:

* Shop for plans aimed at small businesses. Many insurers will offer plans that are aimed at small businesses. Since several companies are competing for a large slice of this profitable market, you will be able to take advantage of premiums and special offers.

* Join a group. By joining together with other small businesses, you may be able to negotiate a better rate with your insurer.

* Check out HSAs. Taking advantage of a Health Savings Account allows you and your employees to set pre-tax money aside to help pay for health care costs. Other than the initial cost of administering the HSAs, there is no extra expense for offering them.

For more information about health care for small businesses, visit the Web site at the link below.