It’s no secret—health insurance is expensive. The good news is there are easy ways to make it more affordable. Plus, by not providing health insurance to your employees, you may pay a steeper price.
That’s because the U.S. job market is facing a wave of workplace turnover. Data show one in four workers quit their jobs in 2021. It’s likely many of your employees are considering their options. A recent Monster.com poll found 95 percent of workers are currently considering changing jobs.
Hiring and replacing employees is expensive—it costs as much as 33 percent of a worker’s annual salary. With a median employee salary of $45,000, this means the average employee turnover cost is $15,000.
In other words, deciding to do nothing may cost you in the long run. Even before the pandemic, 37 percent of employees were willing to exchange higher pay for more generous benefits.
Health insurance ranked as a top employee benefit
Health insurance is the most sought-after employee benefit. It’s a top factor for job applicants when deciding whether or not to apply for a job, and it can help you retain your best employees. It can also help your business standout as an employer of choice.
A healthy workforce also leads to increased productivity and lower absenteeism. Overall, having happy employees who are content with their jobs and health benefits makes your business more competitive and more successful.
How to save money on your small group health insurance
In a recent eHealth study, 66 percent of small business owners said they offer health insurance benefits as a way to hire and retain the best employees. Here are a few strategies they use to make it affordable:
- Affordable plan designs. Blue Cross and Blue Shield of Kansas offers a variety of plan designs and rate options — 23 to be exact — to fit your budget. For example, a high-deductible health plan (HDHP), paired with a health savings account (HSA), has a lower premium, and provides your employees with tax advantages.
- Tax incentives. Businesses can deduct the cost of premiums from their federal business taxes, and some small businesses may qualify for a premium tax credit.
- Cost-sharing. Another way to keep costs low is to have your employees pay for part of the premium. For example, you can pay 50 percent of the cost of single coverage, and employees cover the rest.
Let us help. Browse your small group options and get a free, quick quote today with Blue Cross and Blue Shield of Kansas. Our Small Group Account specialists can help you find the best options for your business. You can also call us at 866-584-0171, Monday through Friday, 8 a.m. to 4:30 p.m., or email your questions to firstname.lastname@example.org