Major Medical Insurance

Major medical coverage is one of the most important benefits that employers can provide for their employees. Employers that sponsor group major medical plans promote employee health by enabling their employees and their families to take care of their essential medical needs, ensuring that they can devote their energies to productive work. Because of the importance of good health, employer-sponsored group health plans benefit employees, employers, and society as a whole. Health insurance protects an individual or family from financial loss due expenses from sickness or injury. About 85% of Americans have major medical insurance and 50% of those get it through their employer.

Overall, group major medical insurance is a popular way for organizations and employers to provide health coverage to their members or employees, offering various advantages in terms of cost, coverage, and convenience including:

Comprehensive Coverage

Major medical coverage insurance is a comprehensive type of medical insurance plan that provides a broad range of benefits and covers a wide variety of medical services and treatments. It is designed to offer extensive protection against various healthcare expenses, ensuring that individuals have coverage for most, if not all, of their medical needs.

Comprehensive plans typically cover a broad array of medical services, including preventive care, doctor visits, hospitalization, surgeries, emergency services, prescription drugs, maternity care, mental health services, and more.

Comprehensive medical coverage insurance is designed for groups who want extensive coverage for the peace of mind that comes with knowing employees and their families are well-protected against a wide range of healthcare expenses.

Boost Job Performance and Raise Morale

Simply put, a healthier workforce is a more productive workforce. Employees with health coverage are significantly more likely to utilize medical services, especially in a preventative manner to stay healthy. Employees with health coverage take fewer sick days and continue working. A study found that healthy workers were three times more productive than unhealthy employees. Also, workforce morale is generally higher.

Boost Appeal & Lower Turnover Rates

Studies consistently show that providing health benefits is a key part of employee retention. 59% of employees say that health benefits is important for increasing loyalty to their employer and is the 4th most prevalent reason that an employee would consider leaving to another company. Employees now expect that when working for a company they will have access to quality and affordable health benefits. Businesses that offer health insurance as part of their benefits package are more attractive to applicants than those who don’t. This reigns true especially for industry competitors of the like size in the same general area and the importance of attracting and keeping quality employees is key the success of a company.

A 2018 survey of 388 employees showed that health insurance was the most valued benefit chosen by 55% of respondents.

Gain Tax Advantages

The tax benefits of group medical insurance can lead to significant savings for both employers and employees.

  1. Tax-Deductible Premiums for the Employer: Premiums paid by employers for group medical insurance are typically tax-deductible as a business expense, reducing the company’s taxable income.
  2. No Payroll Taxes: Employer contributions toward group medical insurance premiums are not subject to payroll taxes, such as Social Security and Medicare taxes, resulting in additional savings.
  3. Pre-tax Premiums for the Employee: Employee contributions toward group medical insurance premiums are often made on a pre-tax basis through a Section 125 cafeteria plan, reducing the employee’s taxable income.

Find the Right Medical Benefits Package

Despite the advantages many businesses, especially smaller ones with less than 50 employees, still do not offer health coverage. A California-based study found that most businesses know relatively little about about regulatory protections, tax deductibility of insurance premiums, and market options. And a substantial reason for not providing health insurance is because they think it will cost them more than they are willing to pay.

Are you a business that currently doesn’t offer major medical insurance and is on the edge about implementing an employer-sponsored major medical plan for your employees? Or do you currently offer medical insurance, but the premiums are simply costing your company too much money? Let us take the wheel. We will work diligently to make sure your business is provided with the most optimal health insurance solution for your business at the most competitive rates available.