Medical insurance — are there two more dreaded words that can be spoken to a small business owner? However, truth told is that small business medical insurance can offer numerous benefits and tax advantages that make it well worth the cost of premiums.

Health insurance for employees of small businesses has become an eternal and everlasting hot button issue. Probably due to the fact that over approximately 45 million United States residents do not have health insurance. Of those, about 20 million are employees, or a family member of an employee, of a business that has 50 or fewer employees.

What accounts for this phenomenon? You hear over and over again that employee health insurance is one of the biggest expenses that a business owner faces. What exactly, though, are those expenses?

The business owner is required to pay a percentage of the employee’s individual premium. Typically this percentage ranges between 25% and 50%. If coverage is extended to the employee’s family members, the employer can elect, but is not required, to also pay a percentage of those premiums.

In addition, small businesses typically must pay larger premiums than businesses with more than 50 employees. State requirements that certain conditions, treatments and providers be covered by the group health insurance policy is another reason that small business medical insurance can be costly.

Despite the costs, small business healthcare insurance has very real benefits. When a small business is able to offer health insurance to job applicants, you are guaranteed to have a more talented pool of candidates to choose from. As we are repeatedly reminded each day by the worldwide web and all other daily news sources, quality medical insurance is a major concern for Americans.

Retention is another benefit of small business medical insurance. It costs you less to retain an employee than to seek out and train a new employee. If your employees are getting medical insurance from you, they much more likely not to jump ship to take a job with another employer simply to obtain medical insurance.

Last but absolutely not least, a healthy employee is a more productive employee. Having healthy employees, like the retention issue mentioned above, saves you money. When an employee is out on a paid sick day, you are shelling out the cash without getting any of the work. So although the company or business is paying part of your employees’ premiums, the company is saving money in other areas by offering medical insurance.

Need more convincing? Group health insurance has tax advantages for business owners. Employer contributions to small business healthcare insurance plans are typically 100% tax deductible. Plus, small business health insurance benefits the business and all of the employees in yet another way. Health insurance, as you undoubtedly know, can be very expensive.

With a group health insurance plan, you are spreading the risk amongst all of the employees. That means lower premiums and better coverage.

The facts and evidence in favor of small business health benefits are extremely persuasive. Plus, finding affordable medical insurance for employees is, in fact, possible and rather simple.

When shopping for small to medium sized group medical insurance go to Abbot Benefits Group online at, or 281-374-7577.

Abbot Benefits Group has been helping small and medium sized Texas businesses from 2 to 250+ employees to provide medical, dental, vision, life, and disability insurance benefits for their employees for 40 years.

Visit Abbot Benefits Group today for small business medical insurance quotes —,
or 281-374-7577.