There are many considerations for purchasing group benefits in California. When recruiting new team members, offering employee benefits is an extra hiring bonus. Healthy job competition forces employers to re-consider this type of coverage. Therefore, when offering your team group benefits, here are some things to consider:
• Group benefits packages may have certain restrictions based on the number of employees in a company. Smaller businesses of 50 employees or less may qualify for group rates. Your insurance agent should be able to tell you if there is a policy to cover the number of employees at your business.
• Before seriously shopping for a new employee benefits, survey your company. Although you may personally benefit by buying coverage, an important issue will be pleasing employees. Find out what coverage they want, and if it is affordable to your company.
• Employers must select premium amounts they can live with. Many small business owners cover 25% of premium costs. However, your competition may be offering as much as 50%. Premiums paid by employers may need to be both competitive and affordable.
• Deductibles and co-payments for any policy you select affect your employees. Purchasing policies with high deductibles and big co-payments may not make sense for some employees. Make sure deductibles and co-payments remain cost friendly.
Offering group benefits is a big decision. But don’t stress, your insurance agent at Nahai Insurance Services is always here to support you and would be delighted to answer any and all of your questions!