The Best Healthcare Options for Your Business, Explained
Do you run or manage a business? Are you wondering which healthcare options will best serve your employees’ needs?
Believe it or not, not all small business health insurance plans are the same. Solid healthcare options are critical for a well-run business. They can increase productivity, boost morale, and help you retain the best people.
Here’s what you need to know about finding the best business healthcare.
- Know About Types of Healthcare
One common type of employer-offered healthcare is a health maintenance organization (HMO.) Generally, these plans require your workers to visit only approved doctors. The plan will tell you which physicians are covered.
HMOs, offer the advantage of low monthly premiums and out-of-pocket costs that are generally lower. There are also generally lower costs for prescriptions.
Since most of the care that HMO users are provided is in-network, they won’t need to file claims as often. They’ll also enjoy the convenience of a primary care physician who coordinates their care with specialists.
Some individuals don’t like HMO plans because they’ll need to find a new primary care physician. They’ll also get less choice when it comes to seeing specialists because they need to stay in-network.
PPO plans allow users a little more flexibility. They’ll pay less for healthcare if they stay in-network, but they are permitted to go out of network for care if they wish.
PPO plans also allow your employees to visit specialists without a referral. This includes those who are out-of-network.
Some folks don’t like PPO plans because they require monthly premiums. They may also encounter more out-of-pocket costs than those on HMO plans.
PPO plans also put a bit more responsibility for finding healthcare in the hands of the patient. Their primary care physician won’t be arranging it for them.
POS plans offer some flexibility as well as cost savings. Employees are permitted to seek care outside of their networks without a referral. However, they must pay more for out-of-pocket expenses.
- Consider HSAs and FSAs
Health Saving Accounts, or HSAs, can benefit your employees in several ways. They will be able to put aside tax-sheltered money each month to use for healthcare expenses such as co-pays or vision care.
As an employer, it can also lower your payroll taxes and lower your overall health benefit costs. HSA-compatible plans can also help you save money on premium contributions.
Your employees own hSAs. They’re permitted to roll any funds they haven’t used over from year to year.
You can also offer a Flexible Spending Account (FSA), which is similar to an HSA. Your employees will be able to put aside a certain amount of money each month to be used for healthcare costs. As an employer, it can lower your payroll and FICA taxes.
- Talk To Your Employees
If you’re running a small business, you probably interact with your staff daily. Before choosing a healthcare plan for them, get their input.
Let them know about the advantages and disadvantages of both HMO and PPO options. Ask them what their priorities are.
Would they rather have lower premiums or greater freedom when choosing their doctors? How do they feel about paying more for prescription plans?
Let your employees know how much will be coming out of their paycheck if they choose to use employer-provided healthcare. Find out about your workers’ needs and priorities.
You can get input through a questionnaire, meeting, or simply through casual conversations. It’s important to know that the plan you’re choosing will benefit most of your employees before you make a final decision.
- Talk to a Healthcare Insurance Broker
Healthcare business brokers can provide you with quotes on healthcare plans. They can inform you of the scope of coverage for various plans, as well as their limits. They can also tell you how the plans you’re considering are rated.
The right broker can guide you through the process of choosing a health insurance policy for your business. Some states even mandate them.
- Use All Input to Make a Good Decision
Consider the information that your broker is giving you as it relates to the preferences of your employees. You’ll also need to think about your company’s budget.
The plan you end up choosing should meet your staff’s expectations as comprehensively as possible. You’ll also want to avoid putting a strain on your finances.
- Consider Cost-Saving Measures
Many employers emphasize preventative care as a way to ensure that healthcare costs stay low. Cost-free preventative care includes yearly check-ups, flu shots, and cancer screenings.
Many healthcare providers also offer telemedicine options that can make healthcare more affordable. For routine medical concerns such as colds, pink eye, or rashes, this is a good way for both you and your employees to save time and money.
You may also offer incentives such as discounts on gym memberships to encourage employees to live a healthy lifestyle. Making good health decisions will result in fewer illnesses for your employees. This means you’ll have less absenteeism to worry about.
Exercising regularly can boost immunity increase serotonin levels. This can result in decreased anxiety and depression, as well as improved morale. This will lead to increased productivity and a better overall work environment.
The Best Healthcare Options For Your Staff
A healthy group of employees is a happy one. Once you’ve researched your healthcare options, make sure you choose a plan to keep them in optimal physical and mental health. It will make your business a desirable place to work.
Don’t stop getting smart about business and finance now. For more great advice, read our blog today.