Print   RSS

Getting Your Employees the Right Coverage

Heather Legg

August 18, 2014

When you are a small business owner, you have responsibility.

One of the big decisions you have to make is whether or not to provide health insurance to your employees.

Under Obamacare, you are not required to do so unless you have 50 or more full time employees (or the equivalent). If your company size does not meet the requirements, it's up to you to decide.

According to a piece on cnn.com, employee health insurance is not looking good and has been in decline over the past few years.

From 2000 to 2011, the numbers of small companies providing health insurance went from 47% to 38%. Health insurance prices and premiums are going up, so it's more expensive to offer health plans now.

Sometimes even when it's offered; employees decline it because of the high cost.

Why Have Health Insurance if it's so Expensive?

Despite affordability and some other issues, health insurance really is a good thing to have, and as an employer, a good thing to offer.

You never know when an emergency may occur; no one plans for accidents or bad health. If it strikes and you're uninsured, it can be financially devastating. As an employer, you can be a big help to your employees by offering health care even if it is not mandatory.

Not only does health insurance come into play for the big things, but it also has been shown to increase work productivity and attendance at work, as people seek health care before getting too sick.

Medicine can get those under the weather back to work quicker as well. Obamacare is trying to see that health insurance is more available.

What About Choosing a Health Insurance Plan?

If you can provide health insurance to your small business employees, or if you have 50 or more employees and need to, how do you choose the best plans?

• Find one that suits the needs of your employees and fits your budget.

• Remember, small business can earn tax incentives by providing group health insurance.

• Look around and weigh options. Don't just go with the first one you come across.

• Decide if you want a plan that can cut costs or one that provides options of providers and hospitals (HMO, PPO, etc.).

• Make sure you understand the lingo out there in the health insurance world. It's important to know the difference in copayment and coinsurance, what premiums and deductibles are, and what you'll pay for each.

• Know who else you want to cover - spouses, dependents....

It takes a lot to run a company.

You've got decision after decision to make, and some of them (if not all of them) will affect your employees.

Yes, you have to do what is best for your company and its budget, but you also want to do what's best for your employees if loyalty and longevity are priorities.

Health care can be a puzzle, but you can figure out the solution.

 Feedback   Submit Article