Federal and state legislation could change the way small businesses, such as collision repair shops, offer health insurance to employees, if passed. 

The ‘One Big Beautiful Bill Act,’ or H.R. 1, gives more affordable and flexible options for employers with 50 employees or fewer, according to Kevin Dunn, Decisely CEO. This includes offering a tax-deductible contribution, such as $50 or more per month, that employees can use to purchase their health plan.

“The ‘Big Beautiful Bill’ (3B) includes favorable language that expands employer incentives and, most importantly, empowers employees with choice when it comes to their health insurance,” Dunn said. 

This could help small business employers provide an incentive to employees, Dunn said. He said it works the same way as a group insurance product, but with less risk, and is less expensive for the business and, typically, the employee. 

Employees also have 10 to 100 plans that may fit them better, Dunn said. Whereas employers may have one carrier, they typically have three to five plans. 

The revision to the federal marketplace also creates a bipartisan initiative, Dunn said. The marketplace was put in place under President Barack Obama and revised during President Donald Trump’s last term, he said. 

The bill strengthens the case for Individual Coverage Health Reimbursement Arrangement (ICHRA), according to a Decisely blog post written by Jess Southwell, the company’s senior vice president. 

“ICHRAs give employers a new way to offer health benefits — one that’s flexible, budget-friendly, and portable for employees,” the blog says. “But with greater flexibility comes greater responsibility. If choice is the new standard, education, support, and clarity must follow. Employees need help navigating their options. Employers need help structuring smart, compliant programs. Otherwise, we risk trading complexity for chaos.”

Currently, Ohio is considering a bill that would provide an ICHRA tax credit of up to $400 per employee for businesses that have two to 50 employees. 

The bill, HB133, says that to claim the credit, businesses must provide documentation to the tax commissioner demonstrating their compliance with the ICHRA requirements. It can be claimed against the taxpayer’s aggregated tax liability and will be added to the existing list of tax credits that can be applied in a specific order. 

It would apply to taxable years ending on or after the effective date of the legislation. 

The bill passed the House on June 4 and was referred to the Senate Ways and Means Committee on June 11. 

Georgia is considering a similar bill that would give employees an ICHRA tax credit for contributing at least $100 per month per employee. It would be available for up to five years with a declining credit amount: 

• • $600 per covered employee in the first three years 
  • $400 per covered employee in the fourth year 
  • $200 per covered employee in the fifth year 

Per the bill, HB341, would apply to small employers with 10 or fewer employees. Employers would have to apply for pre-approval by Oct. 1 of the preceding year and cannot exceed the total aggregate tax credit of $5 million per year. 

It would apply to the taxable years starting on or after Jan. 1, 2026. 

The bill was introduced in February and remains in the House. 

“It is hard for them to disagree on helping small business in places like Ohio and Georgia, where there is a lot of small business,” Dunn said. “When you look at Ohio and Georgia, you have independent collision business that can’t help with insurance, and now this subsidiary helps them to better afford it. It allows them to participate and give whatever they can give to their employees.”

Dunn said this can help small businesses with recruitment and retention for as little as an additional $50 per employee a month. 

Decisely has also launched a tailored ICHRA solution to support this shift, Dunn said. 

“It’s a practical, cost-effective way to offer quality benefits, and it’s gaining traction quickly,” Dunn said.

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