5 Benefits Of Providing Group Health Insurance For Small Businesses
Dan Levenson October 04, 2016
Running your own small business means there are many details you need to keep up with. From ordering stock and making bank deposits to hiring new employees and paying taxes, your to-do list never seems to end.
Now that your small business is off the ground, it’s time to consider offering group health insurance to your employees. While mulling over this decision, consider the cost versus the benefits of offering this program.
Here are some benefits of providing group health insurance to consider.
Attracting The Best Employees
Day to day, it’s your employees that help your small business succeed or fail. When you have a position open, you will receive tons of applications and resumes, and you’ll have to determine who would be the best candidate.
If you offer group health insurance, you stand a better chance of attracting the best candidate for the position. A person with the right experience and education has his or her choice of positions—you need to make sure that your offer of employment matches the benefits of larger companies. After all, one of the basic benefits most employees look for is affordable health insurance.
Employees Miss Fewer Days
Having health insurance helps your employees stay healthy. Using preventive care, your employees won’t get sick as often or require emergency care.
If one of your employees has a medical condition such as high blood pressure or diabetes, reliable health insurance helps them manage the condition on a daily basis with prescription medication so they always feel their best.
Also, when the occasional cold or sinus infection happens, they can see a doctor immediately, lowering the number of days of work they might miss getting better.
If your small business has fewer than 25 employees, you may find that you are eligible for a tax credit by offering group health insurance. Aside from company size, there are other criteria that need to be met as well.
Also, you can deduct the portion of health insurance that your business pays for employees’ insurance.
Your own health insurance costs are tax deductible as a business expense if your company is incorporated. Lower tax liabilities can put more money back into your business, which can go toward improvements or expansions.
Health Care Reform
In 2015, new laws went into effect regarding employers offering health insurance to their employees. If you have more than 50 employees on the payroll, you can receive an assessed penalty and be required to pay additional taxes.
Even if you haven’t reached that number yet, you want to be prepared for when you do reach it by already having the benefits in place. Additionally, there are new insurance plans available for small businesses that can save you money.
More Focused Employees
Financial strain can cause your employees to become anxious and thus less focused on work. By providing health insurance, you can reassure your employees that their health insurance is covered and that any emergency medical condition won’t bankrupt their household.
With less worries on their minds, you’ll find that they are more focused on daily tasks at work. Also, you’ll find that by offering them perks and showing concern for their stress that your employees are more loyal to you and your business.
At InsureYourCompany.com, we work with many small businesses just like yours to help find the right group health insurance. We understand that you want the best coverage at the most reasonable cost. Contact us to learn more and for help selecting the best policy for you.