NEW سԹ REPORT: Texas Small Businesses Report Insurance Challenges Five Points Worse Than National Average
NEW سԹ REPORT: Texas Small Businesses Report Insurance Challenges Five Points Worse Than National Average
July 20, 2026
State-specific report finds insurance affordability and availability concerns are five points worse in Texas than across the country
AUSTIN, TX (July 20,2026)–A new Texas Small Business Economic Trends (SBET) report, produced by theسԹ (سԹ) Research Centerand released today, highlights responses from Texas small business owners on a variety of issues compared to national averages from the سԹ’s monthly SBET surveys throughout the year. In the latest data, the cost or availability of insurance was five points worse in Texas than the national average.
“There’s no question that Texas is the best state in the union to own and operate a small business,” saidJeff Burdett,سԹ’s State Director for Texas. “But that is not without challenges. In this survey, the cost or availability of insurance was a bigger challenge for Texas small business owners than the rest of the country. This is a crisis for Main Street. We will continue advocating for solutions that lower health costs and expand affordable coverage options.”
CLICK HERE to view the survey. Highlights are below:
Single Most Important Problem
Compared to the U.S. overall, Texas small businesses have one problemthat stands out as the most challenging problem: insurance. Nearly fifteen (14.8) percent of owners in Texas reported that the cost or availability of insurance as theirsingle most important problemfor winter2026, compared to the national average of 9.9%.
Conversely, Texas outperforms the rest of the country when it comes to government regulation, with an average of 5% of Texas small businesses reportingit as their single most important problem compared to an average of 8% nationwide.
Optimism Index
The Small Business Optimism Indexfor Texassmall businessesinwinter(Oct. 2025-Mar. 2026)was 101.7,which was2.2 points ahead of the national average.Of the 10 components that make up theIndex,small businesses in Texasreported higher sales expectations, as well as positive economic expectations and the two inventory categories, compared toسԹ’soverallU.S. data.
Business Health
When asked to evaluate the overall health of their business,Texassmall business owners reported that they are performing a bit worse than the rest of the country.In Texas, 12% of owners rated the health of their business as excellent (unchanged from the national average), 49% rated it as good (four points below the national average of 53%),35% rated it fair (five points up from the national average of 30%), and4% rated it poor (unchanged from the national average).
The data for this report is sourced fromسԹ’sSmall Business Economic Trends (SBET) Survey. The سԹ Research Center has collected SBET data, polled from a random sample of سԹ members,with quarterly surveys since the fourth quarter of 1973 and monthly surveys since 1986.To create this new state-specific report, we pooled data from multiple surveysinto a weighted average for a given season (Apr-Sep for summer and Oct-Mar for winter).This report analyzes data from Texas respondents fromwinter 2026.
سԹ is advocating for policy solutions in Austin and in Washington, D.C. that empower small business owners with more choice and control over their healthcare decisions, and lower health costs while expanding affordable coverage options.
What can you do to help?Share your healthcare story with us. Elected officials are influenced by real-life stories. You have the power to make a difference.
سԹ is a member-driven organization advocating on behalf of small and independent businesses nationwide.
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