Health Insurance for Pest Control and Pool Service Companies
Pest control and pool service companies run on route technicians. A good tech knows the customers, the routes and the equipment, and replacing one costs time and money. A health plan can help you keep them, even if you only have a handful of trucks on the road.
This guide is for Florida and Texas companies with roughly 3 to 12 people: who counts for a group plan, how to handle family coverage for your techs, waiting periods for new hires, and how to size your contribution.
Can a small route-service company get group coverage?
Often, yes. In Florida, a small employer is a business with 1 to 50 employees. To set up a group plan, you generally need at least one employee on payroll who isn't the owner or the owner's spouse.
In Texas, a small employer averaged 2 to 50 employees during the previous calendar year and has at least 2 employees on the first day of the plan year. A new business uses the average number of employees it reasonably expects to have.
Who counts: full-time techs, part-timers and helpers
- Texas: an "eligible employee" is generally full-time, usually working at least 30 hours a week. Part-time, temporary, seasonal and substitute workers aren't counted, and neither are employees already covered by another health plan.
- Florida: carriers set their own eligibility, participation and contribution requirements, so who can join depends on the carrier. We'll check each carrier's rules against your employee list.
- 1099 subcontractors aren't on your payroll, so plan for them to buy their own coverage.
Family coverage for your techs
Some of your techs may have a spouse and kids, and family coverage can matter a lot to them. Group plans generally let employees add dependents. The business decides how much it puts toward employee-only coverage and how much, if anything, toward dependents.
Common approaches:
- a percentage of employee-only premiums;
- a flat dollar amount each month;
- a richer contribution for employees and a smaller one for dependents.
Our guide to how much a small business should contribute walks through the trade-offs.
Participation, contributions and the Nov 15 – Dec 15 window
- Texas: the default minimum participation is 75% of eligible employees, and a carrier may accept a lower level if it applies it uniformly. Texas law doesn't require an employer contribution, but a carrier may require one under its usual practice.
- Florida: carriers set their own participation and contribution requirements.
If a couple of techs would rather skip coverage and you come up short on participation, there's a backstop. From Nov 15 through Dec 15, carriers must accept small groups that miss their usual participation or contribution minimums, and coverage generally starts Jan 1. Outside that window, small-group plans are sold year-round, but you'll need to meet the carrier's normal rules. See the Nov 15 – Dec 15 small-group window.
Waiting periods for new hires
Route companies often have turnover in the first weeks. A waiting period lets you offer coverage to the techs who stay, within limits:
- Federal limit: under federal law, a group health plan can't make an eligible employee wait more than 90 days for coverage to start, and every calendar day counts, weekends and holidays included. That applies to small groups in Florida and Texas.
- Texas limit: a small employer's waiting period can't exceed 90 days from the first day of employment.
- Orientation period: a plan may add a bona fide orientation period of up to one month before the 90-day waiting period starts.
Apply the same rule to everyone in the same job class, and put it in writing with the carrier.
When a group plan isn't the right fit
- QSEHRA: for employers with fewer than 50 full-time-equivalent employees that don't offer a group plan. Reimbursements are capped by the IRS.
- CHOICE Arrangement (formerly ICHRA): for employers of any size, with no federal dollar cap. Employers generally must give employees written notice 90 days before the plan year starts.
With either one, techs buy their own individual plans and you reimburse them under the arrangement's rules.
When a tech leaves
Federal COBRA applies to employers with 20 or more employees. Florida's mini-COBRA law covers smaller group plans, and Texas has its own state continuation rules for fully insured plans. The carrier handles most of the paperwork.
How Health Services Pro helps
Health Services Pro is a licensed, independent health insurance agency in Sunrise, FL. We're licensed in 30+ states, including Florida and Texas, and we work with 50+ carriers. Our team of licensed agents includes Spanish speakers, so your techs can ask questions in English or Spanish. We'll check carrier rules against your employee list, compare plans for your techs' ZIP codes, model contribution options and stay on as your contact at renewal. Working with a licensed broker generally costs nothing extra, because brokers are typically paid by the carriers.
Learn more on our small business group plans page.
Frequently asked questions
Can a pest control company with 3 employees get group health insurance? Often, yes. In Florida, a small employer has 1 to 50 employees and needs at least one employee on payroll who isn't the owner or the owner's spouse. In Texas, a small employer has at least 2 employees on the first day of the plan year.
Do part-time helpers count for a group plan? In Texas, part-time, temporary and seasonal workers aren't counted as eligible employees. An eligible employee is generally full-time, usually working at least 30 hours a week. In Florida, carriers set their own eligibility rules, so it depends on the carrier.
Do I have to pay for my techs' families? Texas law doesn't require an employer contribution, but a carrier may require one. In Florida, carriers set their own contribution requirements. Many owners contribute more toward employee-only coverage and less toward dependents.
How long can I make a new tech wait for coverage? No more than 90 days, counting every calendar day. A plan may add a bona fide orientation period of up to one month first.
What if not enough of my techs sign up? Apply between Nov 15 and Dec 15. During that window, carriers must accept small groups that miss their participation or contribution minimums, with coverage generally starting Jan 1.
Get your group quote
Start your Florida group quote or Texas group quote, or call (954) 736-0885.