Employee Benefits

Small Business Secrets for Selecting the Right Health Care Plans

Small Business Owner

If you were in the market for a new vehicle, would you stop at the first automotive business you drove by and buy the first vehicle you saw?  Probably not. Instead, you would invest time researching manufacturers, test-driving different vehicles and soliciting recommendations from friends and family members to determine which model best fits your needs.

This same analogy is applicable to the process small businesses should follow when selecting health care insurance options for employees and their dependent family members. There are many different insurance companies with a spectrum of plan options. On paper they all may look the same. But in reality, carriers design plans differently. If you choose a health care plan based solely on an insurance broker’s recommendation, or according to the bottom line price, you may discover that it does not provide important benefits.

Small businesses can avoid making mistakes when selecting health care plans by following the advice featured in Entrepreneur magazine’s “Six Mistakes to Avoid When Choosing Health Care Coverage.” The article offers these tips:

  1. Don’t go it alone
  2. Don’t assume one size fits all
  3. Don’t overlook employee opinions
  4. Don’t scrimp on benefits
  5. Don’t limit yourself to traditional plans
  6. Don’t neglect to reevaluate the coverage

Tell us about any lessons you have learned through the process of choosing a health care plan.

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