Advantages of Group Health Insurance for Employees

Today the employment market is extremely competitive. Finding and retaining talented employees has become extremely difficult. Big companies and well-funded startups are fighting to recruit and retain talented employees. The problem is even more acute for small businesses which can’t afford to pay high salaries. In such an environment, offering a comprehensive Health Insurance Coverage for employees can be one way to retain employees. This article explore why Group Health Insurance Plans are an excellent solution for employers to retain and attract employees as well as discuss other advantages of the same. and how they work with other aspects of payroll processing, such as taxes and benefits administration.

What is a Group Health Insurance Policy?

A Group Health Insurance Policy reimburses the employees for the medical expenses incurred by then during the Policy Period. A Group Health Insurance Plan covers a group of people under a common Health Insurance Policy. Group Health Insurance Policies are generally purchased by employers on behalf of their employees.

How does a Group Health Insurance Policy work?

A Group Health Insurance Policy is usually purchased by an employer on behalf of the employees. The Policy insures a group of employees under a single and common Health Insurance Plan. Additionally, a Group Health Insurance Policy can be extended to cover family members (Spouse and Parents) as well as dependent children by paying additional premium.

What are the Benefits of Group Health Insurance Policies?

A Group Health Insurance Policy is a win-win solution for both, the employees as well as employers. Some of the benefits of Group Health Insurance Plans are listed below:

Advantages of Group Health Insurance Plans for Employers

1. A well-motivated workforce is crucial for an organisation’s success

One of the keys to an organisation’s success is a well-motivated workforce. Employees aware that their medical needs are taken care of with a comprehensive Health Insurance Policy have mental peace and satisfaction. A well-motivated and a happy workforce has better productivity and thus contributes to an organisation’s success. Moreover, companies can use a Group Health Insurance Policy as a perk to attract talented new employees.

2. Group Health Insurance are cheaper than Individual Health Insurance Policies

One of the biggest advantages of Group Health Insurance Policies is cost savings as compared to regular Health Insurance Policies. Group Health Insurance Plans are significantly cheaper than Individual Health Plans with similar benefits because the risk is spread across a larger pool of insured individuals. As a result, employees can avail comprehensive health insurance at affordable rates through their employers.

3. Tax Savings for Employers

Another benefit of Group Health Insurance Plans is that Employers can claim tax-deductions on premiums paid towards a Group Health Insurance Policy. Thus, Premiums paid towards Group Health Insurance Policies can result in big tax savings for employers. This is a big advantage from an employer’s perspective and the Tax Benefits of Group Health Insurance Policy of a Group Health Insurance Policy make it a mutually win-win solution for both parties involved.

4. Group Health Insurance Plans can be customised

Another big advantage of Group health Insurance Plans for employers is that the features of a Group Health Insurance Policy can be customised. Employers are free to select the Sum Insured and customise features such as Room Rent Capping, Co-Payment Clause, Domiciliary Hospitalisation, Maternity Benefits and Waiver of Waiting Period for Pre-Existing Diseases and other benefits like Maternity Benefits etc. Depending on the features selected, the premiums for Group Health Insurance Policy will either increase or decrease. As a result, employers have a lot of flexibility to add or remove features depending on their budget.

Advantages of Group Health Insurance Plans for Employers

1. No Waiting Period for Pre-Existing Diseases

The biggest advantage of Group Health Insurance Policy for Employees is that the waiting period for Pre-Existing Diseases can be waived off in Group Health Insurance Plans while individual or family floater health insurance plans have a Waiting Period of 3-4 years for Pre-Existing Diseases.

2. Easier Claim Settlement Process

The claim process in Group Health Insurance Plans is very simple as Group Health Insurance Claims can be settled either on a Cashless Basis or a Reimbursement basis. In a Cashless Claim Settlement Process, the employee does not even have to bear any medical expenses out of his own pocket as the Insurance Company directly settles the bill with the hospital.

3. Maternity Coverage without waiting periods

Most individual or family floater health insurance plans provide Maternity Benefit only after a Waiting Period of 2-3 years. However, Maternity Benefit can be provided without any Waiting Periods under a Group Health Insurance Policy. This is one of the biggest benefits to female employees or the spouse of male employees under a Group Health Insurance Policy.

4. No Need for Medical Check-Up

Individual Health Insurance Policies require all people over 50 years of age to undergo a medical check-up before they can avail a Health Insurance Policy. However, there are no such restrictions of a compulsory medical check-up under Group Health Insurance Policies.

5. Peace of Mind for the Employee

Finally, employees covered under a Group Health Insurance Policy can rest assured that their medical expenses will be taken care of in case of a medical emergency. This is really important since medical expenses are skyrocketing today and having a comprehensive Health Insurance Coverage is of utmost importance.

Get Best Quotes for Group Health Insurance Policy with Qian!

A Group Health Insurance Policy is an excellent option for employers as well as employees. It will serve as a motivating tool and perk for the employees while the employers benefit from increased employee productivity. Qian has tie-ups with the best Group Health Insurance Companies in India for Group Health Insurance requirements of employers. We will also assist you to compare Group Health Insurance Quotes across multiple companies and help you in selecting the best quote as well. Qian specialises in Group Health Insurance for small businesses. Over the last few years, Qian has catered to 100+ small businesses for their Group Health Insurance Policies. If you wish to purchase a Group Health Insurance Policy, you can email us at insurance@qian.co.in or call us on 022-35134695. We would be glad to assist you..

1. Group Health Insurance Policy for Employees
2. What is Group Health insurance?
3. What is an Employee Group Health Insurance Policy?
4. What does a Group Health Insurance Policy cover?
5. What is not covered under a Group Health Insurance Policy?
6. How is a Group Health Insurance Policy different than an Individual Health Insurance Plan?
7. What are the Key Features of a Group Health Insurance Policy?
8. What are the add-on covers available under a Group Health Insurance Policy?
9. What is the impact of Room Rent Limit on the claim amount payable under the Group Health Insurance Policy?
10. Should employers opt for a Pre-Existing Disease Coverage from Day 1 in Group Medical Insurance Policy for employees?
11. Does a Group Medical Insurance Policy provide Maternity Benefits?
12. What are Waiting Periods under a Group Health Insurance Policy?
13. What are the benefits of Group Health Insurance Policy for Employers?
14. What are the benefits of Group Health Insurance Policy for Employees?
15. Why should you purchase an Employee Group Health Insurance Policy for your organisation?
16. How many employees do you need to purchase a Group Health Insurance Policy?
17. Who is eligible for Group Health Insurance for Employees?
18. Are Employer Group Health Insurance premiums Tax-Deductible?
19. How much does a Group Health Insurance Policy Cost?
20. Which are the leading Group Health Insurance Companies in India?
21. How to purchase a Group Health Insurance Policy?
22. What are the Documents required to make a claim under a Corporate Health Insurance Policy?
23. Why should I Purchase a Group Health Insurance Policy through an Insurance Broker?
24. Compare Plans from 20+ Group Health Insurance Companies and choose the Best Group Health Insurance Policy in India with Qian!
25. FAQS
26. Testimonials