There are many different types of health insurance on the market and one of the most common that we hear about is group coverage, so how does it work and what exactly can you expect from it? We should begin by stating that group insurance refers to the type of coverage that you would provide to employees who work for you. When employees sign up to work with you, and when you hire them, they will be expecting benefits if they work over a certain number of hours in the week. You want to save money here and you want to make sure that they are fully covered, so how exactly do you go about it? It all starts with the first step: buying a plan.
SHOP – This is an acronym which stands for Small Business Health Options Programs and it applies to those companies that work with 50 or fewer employees. This is a federal/state marketplace that is able to sell health insurance plans to your team members.
Alternate Service – There are several alternate services out there that will automatically recommend plans that are tailored to your company, you should be able to find quite a few good examples out there.
Direct Purchasing – If you don’t want to go through a federal/state or private service to get the group insurance that you need for your company then you always have the option of buying directly from the insurance company. Some of the most popular options include:
- Blue Cross
- Blue Shield
This is just a small sampling of the insurance companies that are available to you and you can rest assured that there are plenty of other private insurers out there, and you can easily find one that meets your specific needs.
Choosing to Work with a Broker
If you are running a small business and still are not entirely familiar with the concept of health benefits for your employees then you’re going to be a bit confused at first. Don’t worry – everyone is. The most important thing for you to remember here is that there IS a health plan out there that is perfectly tailored to your style of business. In this case, you would work with a broker who would be able to help you to choose the carrier and the plant that works best for your business. While this might sound like an extra step, keep in mind that you are going to pay the same price for your insurance whether you use a broker or not, so it would be within your best interest to go with an insurance broker and get it right the first time. It won’t cost you anything extra to get a bit of extra help!
Avoiding the Statewide Risk Pool
Individuals do not enter their insurance policy alone; once they pay for their plan they will be placed into a statewide risk pool, and this group is based on the likelihood that you will need care. Businesses, on the other hand, will not be placed within this pool which gives them a significant advantage.
Insurance for your Employees
Group insurance plans are great for your employees and they are perfect for helping you to maintain the state minimums regarding coverage for those who are working under you.
Bottom line: health insurance is a critical part of anyone’s life and it will help your employees to feel more comfortable working for you.
Getting More Information
If you want to invest in group health insurance for your employees and company, then you’ve made an outstanding decision. The first thing that you will notice is that you become a more attractive choice for potential employees. While income might be one of the primary things that potential employees are looking for, insurance comes in at a close second, especially if they have families. Hospital bills can make or break a person or family, and your company needs to provide for them as best as possible. While there are many who believe that the group insurance dynamic is on the decline due to costs there are many who believe it is not only alive and well, but will continue to be a driving force in the industry throughout the year 2018.
Are you ready to take the leap and get a group insurance plan for your employees? If so, then now would be a great time to start taking a look at the various providers and seeing just what they have to offer. Each insurance provider has a detailed group insurance plan on their website, and once again, if you find that you are having trouble making the decision yourself, you always have the option of going through a broker. The right coverage is out there, you just have to find it!