4 Useful Tips for Finding the Right Employee Health Insurance Plan
Health coverage offered by an employer is considered to be the most important employee benefit by most employees. Not only to employees, but it’s beneficial to the employer too, because the expense is tax deductible and studies have revealed that providing health insurance improves recruitment, increases retention and reduces absenteeism. However, not all employee insurance policies are equal and good deals for a business. Here are a few useful tips to find a health plan that is suitable to you and your employees.
1. What Type of Health Insurance Should You Offer to Your Employees?
The choice of most small businesses is traditional health insurance. Its biggest benefit is the flexibility it offers to employees enabling them to visit any doctor or hospital. However, sometimes it is pricier to offer than managed care plans, which sometimes provide “fee for service” alternatives that simulate the freedom of traditional insurance. But the deductibles and co-pays that employees have to pay can be very high.
Before evaluating the plans on your own or finding an insurance broker, create a list that should include preferences for maternity, mental health and dental coverage, and whether you may want to offer insurance for dependents of your employees.
Plus, several employers implement workplace wellness schemes to make an effort to enhance the overall health (and reduce premiums) of the workers.
2. Should You Use an Insurance Broker?
Most small businesses prefer the group benefits offered by group health insurance plans from a broker who normally offer plans from 5 to 15 insurance providers. While finding a broker, look for one that is experienced in working with businesses similar to yours.
Be aware that not all brokers are honest. Insurance providers will issue only one quote to a company needing coverage; hence some brokers “paper the market” by obtaining bids from nearly all available insurers. This can lock your business into having to work with that broker.
3. Looking for a Better Deal
If you are having a difficulty in finding affordable coverage straight from insurance providers, it may help to contact your state department of insurance to know about small business group health insurance providers in their area. However, before considering taking benefit of any such plans, you should inquire carefully just like you would do for any other plan.
4. Assessing a Policy
Look at the list of criteria you have decided for the right policy. A plan should fulfill them as closely as possible. Consider factors like cost, coverage, reimbursement and restrictions while assessing these plans.
Follow these tips to find just the right insurance that will make you as well as your employees happy.