Medical insurance is the foundation of your employee benefits program. With many available options to consider, a group health insurance company can break down the costs and help you determine which plan is right for your organization.
How Group Health Insurance Works
By spreading the risk among the entire pool of insured individuals, group insurance can keep costs low, resulting in premiums that are usually less expensive than those for an individual health insurance plan. Designed to provide cost-savings to businesses, group health insurance can be purchased by companies with one or more employees.
Benefits of Group Health Insurance
Aside from offering affordable medical insurance to your employees, group health insurance provides tax savings because premiums are paid with employee’s pre-tax dollars. The business also realizes tax savings through lower payroll taxes and you will receive a deduction for the cost of employer contributions.
Types of Group Health Insurance Plans
There are several types of group insurance plans and ways to design your coverage, all with their unique pros and cons.
- Health maintenance organization
- Preferred provider organization
- High premium plan with a low deductible
- Low premium plan with a high deductible
Offering affordable group health insurance coverage to your employees helps boost employee morale and helps your business attract and retain top talent.