Big Benefits for Small Employers
Small Business Health Insurance Plans
Small business health insurance plans often aren't worth the extra cost. Time spent selecting health insurance plans, educating employees, collecting and distributing documentation is spread across a small number of employees - making the process cost prohibitive.
Voluntary employee benefits allow small businesses to offer big business health insurance plans without the overhead costs. Employers with three or more eligible employees qualify for the plans. Here is how it works:
Supplemental Small Business Health Insurance
Supplemental small business health insurance can be added into the equation for those employees needing first dollar protection. First dollar protection begins paying right away when an employee has a qualifying medical event. Some employees may not have the financial cushion to cover higher deductibles and co pays, and supplemental coverage is a good way to address their needs.
Supplemental health insurance makes cash payments directly to employees, helping them cope with the left over medical expenses in your simple plan. It also helps replace lost income when employees miss time away from work due to accidents and illnesses.
Flexible spending accounts are another important component to plans of any group size. They allow employees to use pre-tax dollars to cover predictable expenses introduced by the higher deductibles and co pays. Employees paying child care expenses generate up to $380 in payroll tax savings, making flexible spending account administration more affordable.
Simplify Small Business Plans
Small business health insurance plan costs will vary based upon the demographics of the employee population, and the plan design. Owners can pick a simple plan that covers the most important exposure - catastrophic loss. Catastrophic losses are associated with major health events that can easily ruin an employee's finances for years.
The cost of this option rises as the plan design migrates away from covering just catastrophic losses: deductibles, co pays, and co insurance all impact premium costs. Many employees would prefer a low cost health insurance plan with higher deductibles, etc. These plans are easily identified and communicated to employees.
Employee Benefits Counselors
Trained counselors assist with benefits administration and are available at no cost to your small business. They will distribute and collect documentation helping your maintain compliance. They will sit with each employee to explain how all your programs work and fit together, and capture elections.
Counselors are provided by the voluntary or employee paid insurance carrier as a courtesy. Studies have shown that when employees understand and appreciate their employee benefits they are also more likely to participate in the voluntary programs - everybody wins!