Insurance reimbursement

My husband and I are insured through my work insurance.  He is retired but not yet 65, so his former employer sends him a 1099-Misc.  When I put that information onto Turbot Tax, it's says that he may be eligible for small business deductions (which is not the case) and then I get zapped for a lot of additional taxes.  

 

I am doing something wrong?  Should it be put in differently?