While making sure your employees have the health care coverage they need may seem like a daunting task, I make it easy for you to navigate.
- Tax incentives – Generally speaking, any expenses an employer incurs related to health insurance (for employees or for dependents) are 100% tax-deductible as ordinary business expenses, on both state and federal income taxes.
- Improve hiring and recruiting – A benefits package can appeal to both new hires while setting businesses apart from competitors, saving you time and money in recruitment costs.
- Employee loyalty and retention – Offering group health insurance can help small businesses keep their top employees for the long term.
Most group insurance plans will either be an HMO or PPO plan.
1. Health Maintenance Organization (HMO)
An HMO is a large health care network that requires members to select a primary care doctor. In these plans, individuals cannot see specialists without a referral from their primary care physician. HMO’s require individuals to visit doctors within the health insurance plan network and will not be provided coverage if they see providers outside of the network unless its an emergency. With an HMO out of pocket costs are always predictable with low annual deductibles and low copayments.
2. Preferred Provider Organization (PPO)
PPO’s can be an excellent group health insurance plan due to the fact that they allow individuals to visit any doctor when necessary. Members are not required to choose a primary care doctor as with an HMO. You can also use doctors outside of your insurance plan, however, there may be less coverage. Financially speaking, PPO’s have higher premiums and can have unpredictable out of pocket costs that include deductibles, copayments, and coinsurance.
Monthly premiums: Decide what payment can be made by you and your employees and how much.
Deductibles, Copayments, and coinsurance: Ensure these types of payments will be manageable for you and your employees when receiving medical care.
Medical provider networks: If you already have a preferred doctor or facility can they be included in the new group health insurance plan.
Prescription drug coverage: Research which plans cover prescription drug coverage for you and your employees.
Coverage add-ons: Research which plans allow vision and dental to be included.
I understand that deciding between plans can be very stressful and time-consuming. I can help you break down the options and find a plan that makes sense for your organization. Let’s set up a time this week to discuss your needs.