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Do your employees need business health insurance?

Taking care of your employees’ needs makes them feel more valued and, thereby, more productive. This benefits both your staff and your company. Should you consider it?

Company health insurance, frequently referred to as business medical insurance, is an employer-provided benefit that covers the cost of private healthcare. Additionally, it is referred to as group health insurance or corporate health insurance.

Employees who participate in a group health insurance plan through their employer have access to private healthcare that they might not afford otherwise. This may enable individuals to circumvent lengthy NHS wait times and receive treatment more quickly. By facilitating employee access to health care, your business can benefit from a happier and more healthy workforce, as well as lower sickness rates.

Does size matter?
To qualify for health insurance for small businesses, a company must have between one and fifty employees. If your business employs more than 50 people, you must:

  • Make an application for coverage of large groups.
  • Comply with group coverage reporting requirements.
  • Satisfy the fundamental standards of group health insurance.

So, in short, you can get insurance even if you have two employees in your company!
The cost might change based on the numbers, but business medical insurance is a good investment to make for your employees irrespective of the company's size. 

What does it provide?
As a business owner, you may have access to a wide range of treatments and therapies for your employees, depending on the sort of insurance you obtain.

  • Depression, anxiety, and other mental health conditions can be helped with the right kind of care and support.
  • GP consultations are provided around the clock, seven days a week.
  • There is a 24-hour, seven-day-a-week helpline for stress management.
  • If your employee needs medical attention, they can go to any hospital of their choice.
  • Additional charges apply for cancer care.
  • The term "pre-existing conditions" refers to a collection of circumstances in which you (typically available to larger firms) have access to private healthcare when you need it most.

Keeping a devoted team is easier when they see that your organization values and appreciates them as individuals.

Let's talk benefits
Giving your employees health insurance can have a lot of long-term benefits for both your company and your employees.

People who work for you will benefit from these things:

  • Health care is available for many illnesses and problems, including mental health and physical problems.
  • Treatment waiting times are shorter, and more hours are available in general.
  • More personalised attention based on what they want.
  • The policy may also cover their family members.
  • Sometimes, a phone line for a doctor or nurse practitioner is open 24 hours a day.

And what about you, the business?
For the following reasons, a group health insurance plan could be good for your business:

1. Your employees don't have to wait on the NHS, which means they can get better faster and get back to work more quickly.
2. Employees can see a doctor when they're not at work.
3. Better healthcare could make your team happier, leading to increased productivity.
4. By making this perk part of the total pay package, you can get and keep the best people.

What do you pay?
Group health insurance for employees is normally around £250 per year but can go to £1,000. The cost of insurance depends on several factors, including:

Group size: In general, the more people covered, the less expensive it gets. Small firms pay more for insurance, but those with fewer than 250 employees have options.

Average age: It costs less to cover younger people. To figure out how much you'll pay, you'll need to know how old most people in your group are.

What's in the package: More coverage means more money. New elements include outpatient care, dental care, mental health treatment, physiotherapy, and second opinions.

What do they do: Your employees' profession affects how likely they will get sick or hurt. When more people file claims, the cost will go up.

Location: In some places, like Central London, getting treatment might be more expensive. This will affect the cost of your insurance plan because it will cost more to get treatment there.

Anything extra: Employees are often asked to pay extra for treatment. The more you pay in premiums, the less you pay in excess.

Because business health insurance is a benefit in kind, you'll also have to think about National Insurance contributions as well. Employees who work for you also have to pay income tax.

Tips before you pick

  • Make sure you compare policies before settling on one. Check the policy's benefits, coverage, and cost.
  • Obtain adequate insurance; A group policy covers many risks. Don't be afraid to get numerous policies. You can also acquire a sum assured insurance. You can repay employees for medical expenses.
  • Examine the policy's exceptions: Buy only after reading the tiny print. When the time comes, your employees will easily claim money back.
  • Group insurance plans with greater or no sub-limits are preferable to prevent paying out of pocket.
  • If your workforce is international and employees work from home, choose a hospital with multiple local and international branches.
  • Before proceeding, confirm the terms and conditions of the policy. You should properly understand these unusual situations/cases, so your staff is aware of any non-claimable situations.

Employer-sponsored benefits are designed to strengthen the link between employees and their workplace. Employees deserve to feel that their employer values them. Offering perks like health insurance may seem pricey and complex, but the investment is worth it to retain loyalty and productivity. So choose wisely!

Photo by Arifur Rahman on Unsplash