Many small business owners know that in order for them to be successful they have an incentive to employees to work for them to recruit offer. This may be a number of things, but mostly the advantage of offering group health insurance. Although this would be an excellent strategy for your small business to take new employees to hire, there are a few things you need to know before you dive into selecting a plan. Research insurance well before choosing one for your business.
A group health insurance plan can be obtained by a small company that only two employees to as many as fifty have. There are two ways you can go about providing health insurance for your employees, this will largely be determined by your budget. Many small businesses that offer group health insurance to help cover the costs of the plan. On the other hand, if an employee wants coverage for their family, the employer may offer to the employee contributions to pay the premium they pay for their families.
Another aspect of the group health insurance plan will be deciding between managed care or fee-for-service. Managed care plans include Health Maintenance Organization (HMO), Preferred Provider Organization (PPO) or Point of Service Plan (POS).
An HMO will significantly reduce the cost that your members will have to pay for medical care, as long as they use the providers that the HMO. A PPO will not require a referral to a specialist for them. While the PPO is more flexible will bring higher costs for the per-visit and the annual deductible. The POS plans are basically a combination of the features you find in an HMO and PPO. Members get to decide whether to pay a fixed fee for offices in the network, or pay a deductible charge to see someone from the network. The fee-for-service plan gives the employee the opportunity to select care providers themselves. This means they have much more flexibility in where they can get medical help.
Adding an attractive group health insurance plan for your business could bring you more employees. This is just the basic information on group health insurance, there are many options to consider when choosing a plan. Make sure all options to explore the best plan for your employees to create.
