4 Benefits of Offering Health Insurance to Employees
Most owners of small businesses know the concept of offering the right health insurance and seeing the business growing by leaps and bounds. When employers offer their employees health benefits they value, employees feel more satisfied, are less likely to quit, miss workdays less often and their commitment towards increasing your business grows. Here are some benefits of offering health insurance to employees.
1) Lower premiums
It’s obvious that when you offer health insurance to your employees, you have to offer them ‘group health insurance’ and the premiums of group health insurance are lower than individual rates. Therefore your employees have to pay less for premiums.
2) Less scope for adverse selection
One of the major concerns for those with pre-existing conditions find it very hard to get coverage and whatever coverage they find is usually way too unaffordable for them. However, if the size of the group insurance is large enough, employer-based health coverage is capable to make getting coverage easier and more affordable for employees while reducing the burden on employers of providing healthcare each year as well.
3) Attracts and retain the most qualified employees
Health insurance is necessary to attract and retain the most qualified employees. Many companies face the difficulty to fill skilled positions and employers have to struggle to find workers, so providing health insurance to employees could help them recruit and retain good employees. Employers offer health insurance with HSA (Health Savings Account) to employees, because with the help of HSA employees can spend money for certain medical expenses tax-free. Most important reason is that employees join and stay with their company.
4) Protect employee from financial peril
The most important benefit of employee health insurance is that it helps to protect the personal health and the financial health of employees. Protecting employees’ financial future can help maintain their focus on their job and thereby your business also. Health insurance advantage is that it helps attract and retain quality employees; businesses get the tax advantage. In addition, employers can pass on savings, protect their employees from financial insecurities that may arise from lack of insurance, and ensure the wellness of employees.
All in all, offering health insurance to your employees is a win-win situation in which you and your employees are benefited.