Group health insurance: both employers and employees can benefit from it.

Group health insurance is typically offered through a company you are working for. The employer buys coverage and offers it to employees who are eligible as a benefit of working for the company. Many times the policy is extended to cover the employee’s family members as well. Most then 60% of Americans today have health insurance coverage through an employer group health insurance plan.

Even though the regulations of health insurance may greatly vary in every state, there are advantages to getting coverage through an employer’s plan. Many employees will tell you that the most important benefit they receive through their job is in fact health insurance. Companies within the United States spend billions of dollars each year for health coverage; this makes up most of the revenue that is earned by health insurance companies.

Group health insurance is usually the least expensive kind of insurance; much less than individual health insurance. Most of the time, employers pay part of even all of the cost. Group insurance is often times broader with its coverage, paying for things like mental health and maternity. Some companies can only offer one type of health insurance plan while other companies are able to offer a choice of plans, including a fee-for-serve plan, PPO (preferred provider organization or an HMO (health maintenance organization).

Recently, companies have seen large increases in the cost of offering benefits to employees. This is mainly due to the increase in cost of prescription drugs and health care. Because costs have continued to increase, many companies are forced to reduce the amount of benefits they are able to provide to employees under their group plan. This simply increases the out-of-pocket cost that has to paid by employees when they need treatment or medicine. There are some companies who are requiring employees to pay more of the monthly premium or 100% of the premiums for any dependents. The number of companies that are able to provide full premium payments for employees and their dependents is decreasing each year.

Group health insurance is a big investment for a company and considered a valuable perk for employees. It pays off for a company to research and also compare insurance companies before any commitment is made. There are many different types of insurance plans available. How they work and their limitations can be offset by pricing and also a slightly higher plan can offer more benefits and flexibility in health coverage.

Tips to follow to find the best rate for group health insurance

  1. Consider working with an agent online. A licensed agent online that provide rates and benefits from many different companies as well as plans.
  2. Choose a higher deductible. With a higher deductible, you can still have a good rate and keep valuable coverage.
  3. Use tax incentives. Make sure you are aware of tax benefits that are available when providing coverage to employees. You might be able to deduct premiums on the plan and lower payroll taxes by providing coverage.
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Insurer Network

United Health Care Aetna Anthem Humana
Cigna Assurant Blue Cross Kaiser