Small business health insurance is undoubtedly a huge perk. It shows that the business truly cares about their workers’ well-being and success, both within and outside the workplace. When you have decided to offer health insurance to your workers, you also need to figure out if group health insurance is the way to go or not. How do businesses usually choose employer insurance plans? Obviously, their aim is to save as much as possible, do everything they can for their workers and thus find plans that let them strike a balance between the two. You can achieve this magical equilibrium with group health insurance plans and here are some great reasons to consider going for them:
- You can attract great people
It goes without saying that you can get a competitive edge when you provide health benefits to your employees. However, the edge becomes even more pronounced when you choose group insurance plans. First and foremost, it allows you to establish a culture where people don’t need to worry about their insurance needs. When a new employee joins in, the last thing they wish to do is navigate the complicated healthcare jungle. Group employer insurance plans enables them to just enroll when they are hired, which saves them from having to deal with the rigorous process of searching, purchasing and maintaining their individual insurance plans.
- You can retain wonderful employees
Group health insurance also plays an important role in retention. Replacing an employee can cost a small business half of their annual salary. Therefore, it is of the utmost importance to keep the turnover low.
- You can enjoy benefits in terms of cost
Obviously, every business wishes to reduce its costs and employer insurance plans can be quite hefty, if not chosen wisely. Group insurance plans are also a good choice in terms of cost as the contributions are a business expense, which means they are tax deductible. Furthermore, the amount employees pay in premiums is also done on a pre-tax basis, which means that their taxable payroll earnings are lower, meaning that payroll taxes are lower.
- You can build a sense of community
As all your employees are united under the same health insurance plan, it can create a sense of community amongst them. You can demonstrate that you are invested in the long-term health and happiness of your employees and this portrays a positive image of your organization. This is also shown by the fact that every new employee you hire is also provided coverage when they join. The shared resources and knowledge is also a major benefit of group insurance plans. When they are done well, group benefits help in creating an environment where access to health information is centralized. Hence, people know exactly where to go when they need help. As there is a lot of confusion surrounding health insurance, this aspect can make a great difference.
These are some great reasons why small businesses should consider group health insurance plans for their employees.