3 Reasons Why Group Health Insurance Might Not Be the Best Choice for Your Small Business


May 15, 2018

Health Insurance for Small Business

If your business has conventional group health insurance, you may feel frustrated about the financial and administrative burdens associated with it. Not only is traditional insurance getting more expensive, you may find that the “one-size-fits-all” approach to employee benefits isn’t really working. This type of coverage may insufficient for your company. Here are some reasons why you may need to consider an alternative for your small business health insurance.


1. It’s Unaffordable
 
Having a small business means you have a small workforce and less resources. Because of this, group insurance plans are simply too costly to manage. The price for these plans has skyrocketed recently and it’s not going to slow down any time soon. That being said, if you’re unable to provide health coverage for your employees, it can make it difficult to hire and retain people.
 
2. It Doesn’t Meet the Needs of Your Employees
 
The standard approach to group health insurance just doesn’t work anymore for many businesses. For example, if your workforce spans multiple generations, it’s virtually impossible to find a group policy to accommodate everyone. The health needs of someone in their 20s are vastly different than those of a baby boomer. Today’s workers prefer flexible and personalized health benefits, making it difficult to attract talent if you can’t offer them.
 
3. You Don’t Have Enough Time
 
Administering group health insurance can be time-consuming and complex. As you operate and try to grow your small business, you may not have enough time to administrator health care tasks such as:


  • Acting as a middleman between your employees and insurer
  • Adapting to regulatory changes
  • Keeping up with renewal requirements

 
Running a small business means your time and resources are probably already stretched. You may not be able to justify the additional stresses associated with a traditional health plan.
 
Generally speaking a group health insurance policy is usually the best option for providing health insurance benefits for small businesses. Sackett Insurance Services can take the hassle out of most of the administration work and renewals. However, If group health insurance isn’t working for you, don’t worry. Thankfully, there are plenty of other options out there that provide you the affordability and flexibility you need. Find out all the 
small business health insurance options you can get through Sackett Insurance by calling our office at (707) 823-3689.


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