Keeping your employees happy and healthy is an essential part of running a successful business. Employees who are content make for more productive workers, which in turn, helps your business grow. One of the best ways to ensure employee job satisfaction is to offer benefits, more specifically health insurance benefits.
By offering health insurance benefits to their employees, companies can show their workers that they care about their well-being. That said, it’s important that you choose the right health insurance policy. This is because health coverage can largely influence employee retention and is often a deciding factor for many job applicants. With that in mind, let’s look at several reasons that highlight the importance of health insurance to a company.
First things first, one of the reasons why health insurance is so important to a company are higher productivity levels. Maximizing efficiency and productivity of their workers’ is one of the companies’ top priorities. You want to make sure your employees are giving their 100% at work, retaining focus, and getting more things done.
Studies suggest that the productivity levels of healthy workers are three times higher compared to workers in poor health. A lot of it has to do with a boost in staff morale when offered health insurance benefits. It also helps that employees don’t need to spend their energy and time worrying about things such as health insurance since they know they have health care resources to turn to when needed. This results in fewer sick days being requested by the employees as well as higher employee productivity levels.
As a business owner, it’s in your best interest that the health insurance costs remain low. The good news is, getting better rates is something that’s much easier to do as a business than an individual.
Nowadays, there are plans such as self-funded benefit plans that present viable health insurance options for small business and ensure that employers are not paying for health care that isn’t used. These plans also make it possible for businesses to reap the same high quality group health benefits they’d get from traditional health insurance while paying less. In other words, by selecting health plans like these, employers get to protect both people and profits.
A reduction in operational expenses
Other than reducing insurance costs, selecting the right health plan can also lead to a reduction in operational expenses. Generally speaking, job applicants are more inclined to accept a lower salary offer if it comes with health insurance benefits. This is because, as we already mentioned, individuals need to pay more for family or individual health insurance policy.
On the other hand, employer-sponsored health insurance costs less to get. What this means is that employees get health insurance benefits while the company gets to decrease their operating expenditures. It’s a win-win situation.
In processes such as hiring and recruiting, appealing to potential new hires is top priority. Setting yourself apart from the competition is essential in these processes. This is even more important if your and competitor’s company are similar in size and operate in the same area.
Think about it: which company is more likely to attract top talent? The one whose employee benefits package includes health insurance or the one whose doesn’t? Including health insurance in your employee benefits package can be a key factor that will influence new hires’ decisions. It can also boost employee retention and loyalty and help small businesses retain top talent in the long run.
Last but not least, it’s important to note that the entire process is much easier than many employers think. What often prevents small businesses from offering health insurance is the thought of having to go through the process alone. In reality, they can rely on either a health insurance advisor or broker to help them figure it out.
These professionals can help you set everything up and provide the employees with answers related to health insurance so you don’t have to. Finally, they’ll take into account your industry and your company’s coverage preferences and help you find the most suitable plan. This, in turn, will ensure that your team and you are satisfied and that your company’s needs are being met.
Investing in your employees and their wellness means investing in your company’s growth and success. They are, after all, the beating heart of your business. By offering employee health benefits, you’ll build a happy, healthy, and productive team while also reaping some significant benefits yourself.