Small business · Construction & trades · Michigan
Health insurance for Michigan contractors and trades
Electricians, plumbers, HVAC and other trades: how to offer coverage that helps you hire, whether your crew is year-round or seasonal.
Your info goes to Nexus only and is never sold. Not to a call center, not to a list of “partners.”
- 201,408 MI construction jobs
- Avg. 8 jobs per location
- Seasonal rules explained
Get options for my contracting business
Your info goes to Nexus only. Never sold. No pitch, no obligation.
Construction & trades in Michigan, by the numbers
| Michigan private industry | Jobs (2025 avg.) | Locations | Avg. jobs per location | Avg. annual pay |
|---|---|---|---|---|
| All construction (NAICS 23) | 201,408 | 24,742 | 8.1 | $86,132 |
| Specialty trade contractors (NAICS 238) | 129,084 | 14,471 | 8.9 | $83,690 |
BLS QCEW, 2025 annual averages, private ownership; jobs per location is jobs divided by establishments.[1] QCEW covers jobs reported under unemployment insurance and excludes proprietors and the unincorporated self-employed.[2]
What benefits look like in this kind of work
- Among construction, extraction, farming, fishing and forestry workers, 75% had access to an employer medical plan.[3]
- Union workers in private industry had 92% access, compared with 69% for nonunion workers.[3]
- In private businesses with 1 to 49 workers, 55% of workers had access to an employer medical plan, compared with 86% at businesses with 100 or more.[3]
- Employers paid 80% of single-coverage premiums for these workers on average.[4]
National figures for private industry; BLS doesn’t publish these by state.[3]
What we’d look at for a contracting business
Michigan’s 14,471 specialty trade contractors averaged 8.9 jobs per location in 2025.[1] Nonunion shops compete with union jobs where medical access is much higher[3], so a solid single-coverage contribution matters. If your headcount rises in summer, the seasonal-worker rules below affect both the employer mandate and the tax credit.
Rules that apply to you
- Small group is 1 to 50. For SHOP coverage you generally need 1 to 50 full-time-equivalent employees who aren’t owners or family, and you can start any time of year.[5] See small group rules.
- Can’t meet a carrier’s contribution or participation rule? Federal rules let insurers limit those groups to a November 15 to December 15 enrollment window each year.[6] See contribution and participation rules.
- The mandate starts at 50. Employers with at least 50 full-time employees, including full-time equivalents, on average in the prior year are applicable large employers.[7]
- Seasonal exception. You aren’t treated as large if you go over 50 for 120 days or fewer in the year and the extra workers during that time are seasonal.[7]
- QSEHRA is open only to employers that aren’t applicable large employers and don’t offer a group health plan; 2026 limits are $6,450 single and $13,100 family.[8] See QSEHRA.
- ICHRA can be offered by class of employees, but you can’t offer the same class both an ICHRA and a traditional group plan.[9] See ICHRA and ICHRA vs. a group plan.
- Tax credit check. The small business health care tax credit requires fewer than 25 FTEs and average annual wages under $67,000 per FTE (2025 rules), with a plan through SHOP.[10] This industry’s Michigan average pay was $83,690 in 2025[1], but your own payroll math decides it. See the Form 8941 guide.
Workers’ compensation is a separate, required coverage and isn’t covered on this page.
Related: small business health insurance, level-funded plans and adding dental and vision.
Sources
- U.S. Bureau of Labor Statistics, Quarterly Census of Employment and Wages, Michigan, 2025 annual averages (private ownership). https://data.bls.gov/cew/data/api/2025/a/area/26000.csv
- U.S. Bureau of Labor Statistics, QCEW Overview: coverage and employment exclusions. https://www.bls.gov/cew/overview.htm
- BLS, Employee Benefits in the United States, March 2026, Table 2: Medical care benefits, access and participation. https://www.bls.gov/news.release/ebs2.t02.htm
- BLS, Employee Benefits in the United States, March 2026, Table 3: Share of premiums paid, single coverage. https://www.bls.gov/news.release/ebs2.t03.htm
- HealthCare.gov, Overview of SHOP: Health insurance for small businesses. https://www.healthcare.gov/small-businesses/choose-and-enroll/shop-marketplace-overview/
- 45 CFR 147.104, Guaranteed availability of coverage (eCFR). https://www.ecfr.gov/current/title-45/subtitle-A/subchapter-B/part-147/section-147.104
- IRS, Determining if an employer is an applicable large employer. https://www.irs.gov/affordable-care-act/employers/determining-if-an-employer-is-an-applicable-large-employer
- IRS, Publication 15-B (2026), Employer’s Tax Guide to Fringe Benefits. https://www.irs.gov/publications/p15b
- 26 CFR 54.9802-4, Special rule allowing integration of HRAs with individual health insurance coverage (eCFR). https://www.ecfr.gov/current/title-26/chapter-I/subchapter-D/part-54/section-54.9802-4
- IRS, Instructions for Form 8941 (2025). https://www.irs.gov/instructions/i8941
Checked October 16, 2026. 2027 Marketplace plans and final 2027 rates aren’t published yet; we’ll update this page when they are.
Frequently asked questions
Do seasonal construction workers count toward 50 employees?
If you exceed 50 for 120 days or fewer and the extra workers in that period are seasonal, you aren't treated as an applicable large employer, per the IRS.
How many construction jobs are in Michigan?
About 201,408 private jobs on average in 2025, including 129,084 with specialty trade contractors, per BLS QCEW.
Will you sell my information?
No. Your information goes to Nexus Benefit Solutions only and is never sold.