9 Things You Didn't Know About Group Health Insurance

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As a small business owner, you may think group health insurance plans are only for large corporations. Or maybe you think they are more expensive and harder to administer than individual health insurance plans.

With current market conditions this is no longer the case. One benefit of the Affordable Care Act or Obamacare is the ability for small businesses to now offer coverage to their employees at an affordable cost.

Here are reasons to switch your business to a group plan today:

1. Greater Access to Doctors and Hospitals

Your employees are not limited by individual network coverage. Group means more carrier choices and more health plans available to your employees.

For example, national carrier United HealthCare is no longer participating in the individual market in Illinois, which means it is no longer an option to your employees unless you offer group coverage. The large PPO network that people love from Blue Cross Blue Shield of Illinois is not available in the individual market either, eliminating yet another option to your employees.

But in the Illinois group market, there are over 25 large PPO plans available from Blue Cross Blue Shield alone.

2. Pre-Taxed Dollars

When your employees shop individual health insurance they are spending more money by paying their premiums with post tax dollars.

When shopping group, your employees can pay their monthly premium with pre-tax dollars, meaning money is taken directly from their paycheck before tax deductions. That averages to about 22 percent savings.

3. Get Group Health Coverage In Less Than 48 Hours

In the small group space, medical underwriting is no longer necessary. So running a census is based off age not pre-existing medical conditions so the process is quicker for us and easier for you.

4. Lower Employee Turnover Rate

The highest sought out employee benefit is health insurance. Keep your valued employees satisfied and make health insurance available to them.

5. Cost Control

Control your contribution. The amount you give your employees toward their health insurance can be a set dollar amount. They pay up if they want a richer plan. You don’t budge.

6. Freedom of Choice

You no longer have to choose only one health plan for every employee. You decide what you’re willing to pay and your employees decide what health plan is best for their family’s needs. And yes, you can be enrolled in a different plan than your employees.

7. Smaller Annual Rate Increases

Due to the recent changes in the market, carriers submitted rate increases over 35 percent for individual health plans. Group health plans haven’t broke 11 percent in the past five years, making them more stable than individual health plans.

8. Year-Round Enrollment

You may enroll into a group health plan at any time during the year unlike individual health plans, which only allow you to make purchases during open enrollment period (OEP).

Remember, OEP only comes once a year. This year, OEP ran from November 1, 2016 to January 31, 2017. So if you are reading this now, OEP is already over.

9. Group Plans are Less Expensive

2017 will be the first year individual health plans cost more than group. The time to switch is now.

Setup a Group Health Plan

Getting a group plan can be affordable and simple to administer.  One of our licensed agent can walk you through the steps and provide health insurance options for the leading carriers.  Our service is available to you at no cost.  Get started today.

 

CONTACT A LICENSED AGENT