Nowadays, job seekers are more drawn to benefits than hard cash. Most employers offer attractive insurance plans for their employees in an attempt to attract the best calibers in the market. Health coverage is the most common type of group insurance that employers provide for their employees.
However, many companies are now adding life insurance and other more elaborate insurance plans for a more generous compensation package. Offering group benefits insurance carries a number of benefits for both the employees and employers alike. Continue reading the below to learn more about some of these benefits:
Helps in Cost Saving
Purchasing a master contract for a group insurance plan is much cheaper than buying an individual plan for each employee. A group plan will allow the employer to pool administrative and operational costs driving down the price. This way, employers will get to save a lot of money while still keeping the edge of providing their full-time employees with a comprehensive insurance plan. Especially if you are a small business owner with limited funds, even the smallest of savings will make a huge difference in your bottom line.
Promotes Employee Loyalty
Offering insurance benefits to employees will make them feel like they are valued and that their organization actually cares about their wellbeing. However, not any plan will do. If you are a business owner, you have first to consider the national insurance program that the government provides before you can decide what benefits you will be adding to your group plan.
In a developed country like Canada, all citizens enjoy access to most medical care services through public health insurance. However, according to GroupEnroll.ca, most employees value an enhanced healthcare plan over a pay raise. Giving your employees what they want will make them appreciate your efforts and promote their sense of belonging to the workplace. Employee retention is such a critical issue for any organization, so it helps to have at hand one tool to improve it.
Helps Keep the Workforce Healthy
Medical care is expensive in most countries, so people usually feel reluctant to even go for necessary check ups unless they are insured. If your employees were constantly worried about their ability to afford medical care, there’s a good chance they will be neglecting their health, which will eventually affect your entire business. However, with group benefits insurance, your employees won’t have an excuse for not looking after themselves. Healthy employees mean less sick leave, minimum work disruption, and consequently, higher productivity and more significant profits.
Generous Tax Deductions
By offering group insurance benefits to your employees, you will be taking some of the burdens of public health. As a reward to the private sector, the government will offer some generous tax deductions. To many employers, this is one of the most favored benefits of enrolling in group insurance since taxes eat up a big portion of their returns.
Protects the Business
Workplace injuries are more common than you think. If for any reason, one of your employees suffers from a work-related injury, you can be sued for compensation. However, having a group health benefit will protect your business as insurance should cover any medical costs. This is an invaluable benefit as having your business involved in a personal injury lawsuit can result in irreparable damages.
Supports Brand Image
Offering attractive compensation packages will set you apart from your competitors and help you further improve our brand image. As mentioned earlier, most people are now more drawn to distinguished benefit plans. So offering a group benefits insurance will give you the leverage you need to become an employer of choice and have access to the best talents in the market.
Easier Premium Payment
The last thing you want is to add more administrative work to keep track of timely payments and avoid penalties. With group insurance, the premium is deducted at source from the employees’ salaries, which makes the payment process simple and fast. Once it’s set up, the process flows automatically.
Increases the Ability to Afford More Coverage
Since the premium costs are divided on your entire workforce, you will be more able to afford more coverage wherever you decide to. Think of it as the card up our sleeve that you can pull out when you want to stand out among your rivals. You can, for example, add a group dental plan, which is not normally part of the typical group benefits insurance coverage. Even though it won’t cost you a lot of money, it will indeed impress your employees, and your potential hires.
Providing group benefits insurance is a strong tool that you can use as an employer to get ahead in the market. Study the above list of advantages then compare them against the financial costs. You will surely find that enrolling in a comprehensive group benefits insurance plan will be totally worth it.