It does not matter if you are over your eyeballs deep in the planning stages of a startup, anxiety-ridden regarding the future success of a new business, or that reptile lifer employee in an established company, a conversation about group health insurance for your small business is inevitable. I hear the office roar — duh — not ‘a’ conversation; try at least two every single day from that annoying employee found on every single office staff.
This article will address the white elephant in the office break room by addressing when a small business should consider obtaining group health insurance, the eligibility requirements, and the key factors for choosing the right insurance for your small business.
Perhaps a rather redundant or annoying statement, but the fact is that group health insurance offers many benefits for both your company and your employees, including the following: Increases your ability to retain high-performing employees; Enables a company to secure the best employees; Attracts the best and brightest talent; and finally Group health insurance also enables your employees to quickly receive needed medical attention, which keeps work disruption due to ailments at a minimum without affecting productivity.
Further, since the cost of individual health insurance may leave employees with a monthly bill they are unable to afford, providing group health insurance for your small business allows employees to avoid extra healthcare expenses, thereby causing working for your small business the most desirable option. Also, many existing or potential employees might not be able to qualify for individual health insurance due to pre-existing conditions and therefore only look at employers that offer universal health coverage. In either scenario, employees certainly get peace of mind and a boost in morale with the knowledge that your business genuinely cares about their health and well-being.
Did I hear a question about the eligibility requirements for small group health insurance? Glad you asked … Eligibility for small group health insurance requires employment of 2-50 people. In addition, there are two other primary requirements for small business group health insurance:
• Employer contribution: Health insurance companies require that the employer contribute at least 50 percent of the employee only premium; and
• Employee participation: Insurance companies require that at least 75 percent of the eligible employees actually enroll in the health insurance plan offered by the employer.
When selecting the best group health insurance plan for your company it is also essential (CDC mandatory characterization as an ‘essential need’ expected in the very near future) to consider the following key factors:
(1) Benefits: Look closely at the details of the various plans. What specifics are covered? What is left out? A few common things to pay close attention to are co-payments for doctor’s office visits, hospital co-insurance percentages, prescription medicine coverage for both generic and brand name medications, and out-of-pocket maximums after which the insurance company pays 100 percent of the costs.
(2) Price: How does the price for a plan compare to other plans with similar benefits on a monthly basis? As your primary goal is to obtain the lowest priced plan with the most benefits, you will need to do some research to evaluate all of the options. Unlike individual insurance, you will most likely not be able to get free quotes online for group health insurance. It is recommended to speak with an insurance agent who specializes in small business group health insurance to discuss your specific needs and the options available to you.
(3) Providers: The provider networks for the plans you are considering will be another important factor. You will want to review the types of doctors, number of doctors, and the specialties of the doctors in the network. Compare the networks for the various plans, and seek advice from other small business owners who have already acquired insurance.
As is clearly shown above, securing small business group health is a time-consuming and detail oriented process, but one that is absolutely necessary to ensure you obtain the best coverage at the most affordable price for you and your employees. Again, it is imperative to speak with a small business group health specialist to help your small business select the right coverage.
Visit Abbot Benefits Group online at https://www.abbotbenefits.com, or by telephone 281-374-7577 to select the best insurance for your small business.
Because Abbot Benefits Group has more than 35 years in the industry and definitely knows insurance inside and out. Contact the insurance experts today at https://www.abbotbenefits.com, or by telephone 281-374-7577 … and listen to your sage & dear mother and continue to eat your apple a day!