Covered California for Small Business (CCSB) serves employers with how many employees?
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Answer & full 3-part explanation (select an option above, or peek)
Why A is correct
Covered California for Small Business (CCSB) is the Small Business Health Options Program (SHOP) exchange in California, and it serves employers with 50 or fewer employees. Through CCSB, small employers compare plans, offer employees a choice of coverage, and may qualify for the federal small employer health insurance tax credit. California employers must purchase a QHP through CCSB to receive the federal tax credit. The 50-employee ceiling is the defining size boundary of the small business exchange. The 50-employee line mirrors a common federal boundary, but California's small group market itself runs to 100 employees, so the CCSB exchange limit is the narrower door for small business coverage.
Why the other options are wrong
- B) Employers with 101 or more employees are in the large group market and do not use CCSB.
- C) No 500-employee threshold governs CCSB eligibility; the limit is 50 employees.
- D) CCSB is strictly size-limited; there is no open-ended eligibility for employers of any size.
Memory hook
CCSB = the small-business door of Covered California. Fifty or fewer employees walk through it.