Retiree benefits

The problem in small business insurance is even more acute when it comes to insuring retirees. According to a 2006 study, only 9 percent of businesses with fewer than 25 employees offered retiree health insurance, while 25 percent of those with 26-100 employees did so. In contrast, half of firms with more than 100 employees offered insurance to their retirees. Seniors have access to Medicare, but that only covers 80 percent of health care costs. Those who retire before age 65 are especially in trouble if they do not have health insurance through their former employers, because affordable private options for people in late middle age are very hard to find