Busted! Don’t Believe These Myths About Employee Benefits Or Group Insurance!
The shift from the need for stability to work-life satisfaction has led to a work culture where an unsatisfied employee will not hesitate to move to a new firm. For small and growing companies especially, the need to retain a talented, happy workforce has become a growing problem. As a result, many are exploring the realm of employee benefit plans.
By offering employees the right benefits, you are indirectly telling your employees that you value their work and are invested in their future. Unfortunately, there are a few misconceptions surrounding employee benefit plans or group insurance that stem from the lack of understanding. This has either hindered the implementation of such plans by small businesses or restricted their employees from reaping some of the benefits.
To help you steer clear of misconceptions and find a suitable plan for your employees, Gene Meyer Insurance Agencies Ltd. has debunked five of the most widely believed myths about employee benefits or group insurance.
Myth 1: Small businesses have limited options.
In reality, this is quite the opposite! The options for small businesses are as diverse and flexible as they are for any large employer. You first need to decide the kind of benefits you want to provide. Whether you want to provide health and dental benefits or include wellness and healthy living options, a custom benefits plan can be created to suit your unique business needs. You can also take advantage of wholesale buying power through a large buying group. For more details about wholesale buying power, you can check out the Western Canadian Buying Group (WCBG).
Myth 2: You need a minimum number of employees to provide benefits.
Contrary to popular belief, there is no minimum number of employees required. Whether you have one employee or a thousand, you can provide benefits! You can also offer different levels of coverage for employees based on job title, tenure, etc.
Myth 3: Traditional group benefit plans are the best option.
To get more out of your group benefit dollars, you need to understand all of the options available to you. A traditional plan administered by a life insurance company only returns around sixty cents of each premium dollar paid. That means forty percent of your premium dollars go to plan administration costs, which favors the insurer. Whereas, health spending accounts are a cost-effective way of providing benefits, where the entire premium dollar is paid out in benefits. We suggest that instead of following the herd and implementing the traditional plan, you should find a plan that will benefit your employees the most.
Myth 4: There is no such thing as too many employee benefits.
While having a large and diverse group benefits package is an excellent incentive for prospective employees, to avoid draining company resources, it is crucial to balance your group benefits package. With flexible benefit plans, you can choose benefits that are relevant to your business and workforce. So, instead of paying for a large, all-inclusive plan, create a custom plan that will attract and retain top employees!
Myth 5: It is cost-prohibitive for small businesses to provide health benefits.
There may be many employee benefit plan myths to watch out for, but one of the most common myths is that it is cost-prohibitive for a small business to provide health benefits. However, the truth is that it can be highly cost-effective. In fact, the cost of not offering attractive benefits package could mean that your competition may poach your top employees.
To learn more about employee benefit plan myths and how to build a successful group health plan, contact the experts at Gene Meyer Insurance Agencies Ltd. today! We provide the best group insurance services in Mississauga, Ontario. With over forty years of industry experience, we can personalize your employee benefit services to suit your company, your employees, and your monthly budget. Our services include employee benefit plans, life insurance, uninsurable life insurance, consulting service, and travel insurance.