Small Employer Health Act of 2005

The Small Employer Health Benefits Program Act of 2005 (H.R. 3056) proposed creating a national health insurance program specifically for small businesses with 50 or fewer employees. Under this plan, the Department of Labor would contract with private insurers to offer a variety of coverage options, similar to the system used by federal employees.

For eligible workers, the bill would have required employers to pay at least 50% of the premium costs for any employee who had been on the job for at least three months. To make coverage more affordable, the legislation included government subsidies for small businesses with fewer than 25 employees and additional financial assistance for lower-income workers. While the bill aimed to expand healthcare access for the small-business workforce, it did not advance past the committee stage during the 109th Congress.