Once you have found talented people to work for you, you need them to stick around. That’s important for a consistent influx of revenue and your peace of mind. And what’s the best way to do it? Providing them a healthy and safe environment is one of the essentials but choosing the right group health insurance plan is an absolute must.
If you are successful in finding the right kinds of plans with enough benefits and payable premiums, you are more likely to attract and keep the level of talent you are looking for. It’s imperative to remember that a wide majority of people rely on the insurance plans offered by their employers. That being said, there comes a lot of responsibility on your shoulders. Employer medical insurance may not have been one of the things you have thought before starting a business of your own but this is one of the necessary evils.
Why Is It Important To Hire Health Insurance Brokers?
It is no secret that the technical jargon of health insurance policies can make your eyes tear and head throb. But still, you have to got to do enough research! Even when you are not choosing the plans on your own, you can hire professional help for making the right choice. Several health insurance brokers can assist you in finding the best options for you. They are qualified and experienced to weigh the pros and cons of each plan without tripping on the most common pitfalls.
Now that we know hiring professional assistance can benefit your business in several ways, here are 5 top tips to know before choosing a group health insurance plan. Keep this important information under your belt to make informed decisions.
1. Take A Look At What Your Competitors Are Offering
The easiest shortcut is to take a look at what your competitors are offering. Among all other ways to compete with business rivals, this is one of the most fruitful ways. That’s because offering the best benefits to your potential employees is going to bring you the best talent out there.
Keep in mind that the right workforce can do miracles when it comes to business growth. These days it’s pretty easy to know the offers made by a company. Visit the official website and go to the careers section to read more. You will get some good hints on the health insurance plans offered by the company. Take notes and talk to your health insurance broker about the options you want to consider. Let them handle the task of finding details for you and doing all the calculations whether you can afford a certain plan or not.
2. Learn The Three Main Categories Of Insurance Policies
Let’s get to the business now. There are three main categories of insurance policies. I will try to keep it as simple as possible for you.
Professional Employer Organization Plan
Aiming for higher job satisfaction and less turnover without spending too much? Well, you can achieve this ideal goal by getting a professional employer organization plan. PEO companies handle HR services for different businesses and when you sign the contract for co-employment, you get access to the benefits offered by them.
You are not losing control over your company but handing over a whole lot of administrative work. Your employers can avail of insurance benefits that rarely available to small or mid-sized businesses. That’s because large PEO companies can absorb greater risks if a certain employee falls ill. Although only used by well-established companies, PEO is a good investment for almost any business.
Defined Contribution Health Insurance Plan
You offer a menu of options and a specific allowance. They get to pick the right option for them. This freedom of choice is an attractive offer for people who prefer disability insurance over life insurance or vice versa.
Defined Benefit Health Insurance Plan
This is the category you generally hear about when you are discussing health insurance plans. The employing company offers coverage to an employee provided that they are working within the services and network.
3. Know The Difference Between HMO, PPO, And EPO
Got caught in the prices of the plans? This is the cardinal sin. Don’t fall for the cheapest prices or you will land with little to no coverage. And you must know the difference between HMO, PPO, and EPO.
Health Maintenance Organization
HMO is significantly cheaper than other options but it limits the health providers network for your employees. The primary physician has to write down the referrals for them to see specialists.
Exclusive Provider Organization
There is a network of local health care providers your employee can choose from. Except in case of an emergency, services hired outside the network will not be covered. And you don’t always need a referral from a physician.
Preferred Provider Organization
With more flexibility and expensive premiums than HMO and EPO, PPO allows your employees to consult any specialists inside or outside the network. If they choose to work with someone outside the network, they will miss on copays but the freedom can be liberating.
4. Know The Limitations Of Each Plan
Now you know most of what insurance plans mean and what to choose but it is highly recommended to dig deeper into the limitations. There are limitations other than claims and lifetime limits. You may find extensive details under the internal policy limits. The devil is in the details. You have to find a fine balance between lower costs and lower restrictive plans.
5. Consider International Coverage
If your business operations include international trips and stays, offices in other countries, you must consider international coverage when you are choosing a health insurance plan. This is another step where you need the help of a large group health insurance brokers. International coverage is definitely costlier but worth the peace of mind of your employees.