Group Benefits Programs
A company Group Benefits Plan shares the financial risk of health-related expenses among the group of employees, under one contract, who pay into a fund or pool.
When an employer has a Group Benefits Plan in place for their employees, any member of the group who becomes ill or requires services is financially compensated by the plan according to the terms laid out in the contract between the employer and the insurance company.
Family members of employees are also covered under the plan as specified by the contract.
Advantages to providing a Group Benefits Plan to your employees:
- a competitive edge in the job market — you attract and retain employees, which helps minimize costs associated with high turnover
- access to insurance at a reduced cost — compared to most health and dental individual insurance plans, Group Plans do not discriminate and are not anti-selective, offering all participants the same benefit plan
- a cost effective method to protect employees — increased productivity and higher morale by providing financial security and support to employees
- a tax-effective form of compensation — most premiums an employer pays are tax deductible as a business expense