Small businesses in California are being hit this year with double-digit hikes in health insurance costs that could hurt the state’s economic recovery as companies curtail plans for hiring and expansion to pay their insurance bills.
Five major insurers in California’s small-business market are raising rates 12% to 23% for firms with fewer than 50 employees, according to a survey by The Times.
Similar increases are being felt by many small businesses across the nation, including those in Texas, Ohio and Florida ”” mainly the result of escalating costs for medical care and pharmaceuticals, insurers say.