Learn 7 Ways to Save Money on Small Business Health Insurance
Spending less money on your personnel.
Even if you provide health insurance to your employees, they may end up paying a lot of money for care during the year. According to the Kaiser Family Foundation’s 2018 survey, 42% of small business employees had a plan deductible of $2,000 or more, implying that they are responsible for greater out-of-pocket spending.
Tip 3: Provide a diverse range of plan options.
Healthy employees who rarely see the doctor can typically save money by switching to a lower-cost, higher deductible plan. Those with continuous medical needs can save money by choosing a higher premium, lower deductible plan.
Make sure to offer a variety of plan options so that everyone may acquire the coverage they require (without paying for coverage they will not use).
Every plan option should, ideally, include benefits that fit into your employees’ lives, such as wellness rewards, behavioral health benefits, telemedicine, free annual physicals and flu shots, low-cost prescriptions, and dedicated service experts to keep them happier, healthier, and more productive all year long, as well as cost-savings that help you care for your business and your budget.
Tip 4: Inform your employees about health insurance.
It’s easy to make costly mistakes while buying and utilizing insurance if you don’t understand how it works. Employee education on how health insurance works is a low-cost strategy to assist them in saving money. Education can take many different forms, such as:
• In-person training prior to Open Enrollment.
• Simple plan and benefit documents from your insurance.
• Emails sent monthly or bimonthly with instructive health insurance content.
• Employees can get advice from an in-house or external insurance expert. This might be your human resources manager, an insurance broker, or someone else.
Tip 5: Learn about FSAs.
Workers can use a Flexible Spending Account (FSA) that they set up to pay for health care. People can contribute pre-tax dollars from their paychecks and choose which healthcare costs to pay from their accounts during the year. Let your employees enroll in an FSA during Open Enrollment, and remind them to spend their FSA dollars before they expire at the end of the plan year!
Tip 6: Look into virtual care solutions
Several health plans now include virtual care alternatives, such as telemedicine, that are low-cost or even free and allow you to communicate with a doctor by phone or video rather than visiting a clinic in person. Telemedicine is a terrific method to get care from a medical professional while saving time and money for everyday medical conditions, including colds, rashes, UTIs, and pink eye. Everyone benefits from saving money.
Bonus hint:
When everyone in the firm is healthy, both employers and employee’s benefit. As a result, in 2018, 84% of major employers (200+ employees) invested in wellness initiatives. Wellness programs cover topics such as quitting smoking, decreasing weight, being active, and managing stress. A little friendly competition might be used to encourage staff participation. Simply figure out what works best for your company.
