Offering employee benefits is a decision every business owner has to make at some time or other, no matter what the size of your business. Health Insurance is the second most popular benefit in America today -- only paid vacation is considered more important by American workers. Yet only half of employers with ten or less employees offer health insurance. Selecting a health insurance program most appropriate to the needs and resources of your small business is a complex task. However, with a little help most of the complexities can be minimized.
Some of the reasons small businesses offer health insurance are:
To keep employees productive.
To help attract and retain quality employees;
Employees "need it" or "demand it";
Because the owners/managers want it for themselves and their families. Reasons they "do not" offer health insurance:
High cost of premiums.
Difficulty in getting the right help understanding the health insurance market;
"Don't need it"
When considering a change in health plans or the selection of your first health plan, begin by determining the needs of your employees. Have an employee meeting where you can discuss different plan options. This will help you determine which options your employees consider important. This is also a good time to let them know that you may not be able to afford all of what they want and that they may or will be sharing in some of the cost. Why your employees should be insured;
Helps you get the best employees and keep them
Receive tax deduction;
Increase employee attendance;
Increase employee loyalty.
By obtaining their coverage through the workplace, individual employees are able to obtain group purchasing power resulting in lower rates. It also makes their lives easier since the company acts on their behalf when they have to make use of their benefits - generally when they are ill and don't want to spend time and energy sorting through paperwork and other necessities. Overall, it has a very positive effect on employee morale.
Selecting an experienced broker is the most helpful tool you will use to shop for a health plan and other benefit plans. Brokers are licensed sales representatives who represent a number of different carriers or plans. They are compensated by the insurance carriers through which the insurance is placed. The broker is responsible for ongoing servicing of the account for the insurance company. Why Brokers are Important;
Constant source of information - Since brokers represent many different carriers they will always be a source for the latest information on not only your carrier but also your carriers' competitors. This information is important especially at renewal time every year. Brokers can answer most of your employee's questions regarding coverages.
No Cost to you - Since brokers are compensated by the carriers directly and premiums for employers with 50 or less employees are determined by a community rating, there is no cost to
the employer for using a broker. The community rating law guarantees that the premium is he
same whether you use a broker or direct through the carrier.
Stays with you as your company grows - As you get larger your broker keeps your benefit plans up-to-date and appropriate to your current needs.
Small Business Plans, Inc. is an employee benefits brokerage firm that represent many benefit plan carriers for products such as health insurance, dental, disability, life and all supplemental benefits plans. Using Small Business plans as your broker will give all the benefits of using a broker listed above, plus the use of our web site and exclusive software to help clients administer their plans. To have the complete Guide to Shopping for Health Insurance mailed directly to you please email us at firstname.lastname@example.org or visit the link below and leave your name and address. Your guide will be on the way to you within 24 hours.