Small Business Health Insurance for Electrical Contractors in Davis County, UT

Updated July 2026 · UtahPlanFinder.com — Licensed Health Insurance Producer (NPN #21249133)

Small electrical businesses in Davis County with 1-50 employees can access coverage through HealthCare.gov's SHOP marketplace.
In 2026, four carriers offer marketplace plans in Rating Area 3, which includes Davis County: BridgeSpan Health Company, Regence BlueCross BlueShield of Utah, Select Health, and University of Utah Health Plans.
Utah's marketplace offers HMO and EPO plans; PPO plans are not available on-exchange for small businesses.
Eligible small businesses may qualify for the Small Business Health Care Tax Credit, covering up to 50% of employer-paid premiums.

For electrical contractors and small business owners in Davis County, Utah, securing comprehensive health insurance for your team is a critical decision that impacts employee retention, financial planning, and overall business stability. As of 2026, the local market in Davis County, part of Utah's Rating Area 3, offers several viable options through HealthCare.gov's Small Business Health Options Program (SHOP) for businesses with 1-50 employees. Understanding the available plan types, local carriers, and potential tax benefits is essential to making an informed choice for your electrical contracting firm.

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What Small Business Health Insurance Options Are Available in Davis County?

Small businesses, including electrical contracting companies in Davis County, have primary avenues for offering health insurance: the SHOP Marketplace (HealthCare.gov) or direct-to-carrier private plans.

SHOP Marketplace Plans: Designed for businesses with 1 to 50 employees, the SHOP Marketplace allows you to offer health and dental coverage to your team. These plans are eligible for the Small Business Health Care Tax Credit, which can significantly reduce your costs if you meet specific criteria related to employee count and average wages. In Utah, the marketplace primarily offers Health Maintenance Organization (HMO) and Exclusive Provider Organization (EPO) plans.

Off-Marketplace Plans: You can also purchase group health insurance directly from an insurance company or through a broker outside of the HealthCare.gov marketplace. While these plans are not eligible for the Small Business Health Care Tax Credit, they may offer a wider range of plan types or network options, including some PPO (Preferred Provider Organization) plans that are not available on-exchange in Utah.

For electrical contractors, choosing between these options often depends on your budget, the desired flexibility for your employees, and whether your business qualifies for tax credits.

Understanding Plan Types for Your Electrical Contracting Team

In Utah's health insurance market, particularly within Rating Area 3 which covers Davis County, small businesses will primarily encounter HMO and EPO plans when selecting coverage through HealthCare.gov.

Health Maintenance Organization (HMO) Plans: These plans typically have lower premiums and out-of-pocket costs, but require employees to choose a primary care provider (PCP) within the plan's network. Referrals from the PCP are usually needed to see specialists, ensuring coordinated care.
Exclusive Provider Organization (EPO) Plans: EPOs offer more flexibility than HMOs, as employees do not need a PCP referral to see a specialist. However, like HMOs, they generally only cover care received from providers within their network, except in emergencies.

It is important to note that PPO plans are not available on-exchange in Utah. If your team prioritizes the flexibility of seeing out-of-network providers without a referral, you would need to explore off-marketplace group plans, which do not come with federal premium subsidies.

Small Business Health Care Tax Credit for Electrical Firms

The Small Business Health Care Tax Credit can be a substantial benefit for eligible electrical contractors in Davis County. This credit is designed to help small employers afford health insurance for their employees.

To qualify for the maximum credit (up to 50% of the employer's premium contributions), your business must:

Have fewer than 25 full-time equivalent (FTE) employees.
Pay average annual wages of less than approximately $58,000 (indexed for 2026).
Contribute at least 50% of the cost of employee-only premium coverage for each employee.

The credit is generally available for two consecutive tax years. It can significantly offset the cost of providing health benefits, making it more feasible for small electrical businesses to offer competitive compensation packages.

Health Insurance Carriers in Davis County

For 2026, small businesses seeking marketplace health plans in Davis County, which is part of Utah's Rating Area 3 (covering Davis, Salt Lake, Summit, Tooele, and Wasatch counties), have a clear set of options. In 2026, four carriers offer marketplace plans in this rating area, ensuring competitive choices for electrical contractors. These confirmed local carriers are:

BridgeSpan Health Company
Regence BlueCross BlueShield of Utah
Select Health
University of Utah Health Plans

When evaluating these carriers, consider their network of providers, the specific types of HMO or EPO plans they offer, and their reputation for customer service. Your employees' access to local hospitals such as Holy Cross Hospital-davis in Layton or Lakeview Hospital in Bountiful, both acute care facilities within Davis County, will depend on the chosen plan's network.

Navigating Enrollment and Choosing the Right Plan for Your Team

Choosing the right health insurance plan for your electrical contracting business involves several steps:

Assess Your Needs: Consider your budget, the health needs of your employees, and how much flexibility they require in choosing doctors.
Determine Eligibility for Tax Credits: Use the IRS guidelines to see if your business qualifies for the Small Business Health Care Tax Credit.
Compare Plans: Review the HMO and EPO plans offered by the four local carriers (BridgeSpan Health Company, Regence BlueCross BlueShield of Utah, Select Health, and University of Utah Health Plans) available through HealthCare.gov. Pay close attention to premiums, deductibles, copayments, and out-of-pocket maximums.
Consult an Agent: A licensed health insurance producer specializing in small business plans can help you compare options, understand complex terms, and navigate the application process at no additional cost to you.

Davis County's 4 acute care hospitals, including Intermountain Health Layton Hospital and Western Peaks Specialty Hospital, serve a population of 370,924 with a median income of $110,884, indicating a robust local economy where access to quality healthcare is highly valued. The county's uninsured rate stands at 5.7%, per U.S. Census Bureau ACS 2024 5-year estimates, reflecting a strong commitment to coverage among its residents.

Frequently Asked Questions

What are the eligibility requirements for small business health insurance in Utah?

To qualify for a Small Business Health Options Program (SHOP) plan through HealthCare.gov in Utah, your business must have 1-50 employees (excluding owners, spouses, and dependents) and offer coverage to all full-time employees. You generally need to contribute a minimum percentage towards employee premiums.

Are PPO plans available for small businesses on the Utah marketplace?

No, PPO plans are not available on-exchange in Utah for either individuals or small businesses. Marketplace options in Utah's Rating Area 3, including Davis County, consist of Health Maintenance Organization (HMO) and Exclusive Provider Organization (EPO) plans. PPO plans may be available off-marketplace, but without subsidy eligibility.

Can electrical contractors get tax credits for small business health insurance?

Yes, small businesses with fewer than 25 full-time equivalent employees (FTEs) that pay average annual wages below a certain threshold (around $58,000 for 2026) and contribute at least 50% of employee premium costs may qualify for the Small Business Health Care Tax Credit. This credit can cover up to 50% of your contributions.

How does Utah's Medicaid expansion affect small business employees?

Utah expanded Medicaid in 2020, meaning adults with income up to 138% of the Federal Poverty Level (FPL) may qualify for Utah Medicaid. This provides a safety net for lower-wage employees who might not otherwise afford coverage, ensuring more residents of Davis County have access to essential healthcare services.