As a business owner, there are no shortage of options when it comes to choosing a health insurance plan for your company. While you probably have more pressing issues to deal with in regards to actually generating revenue for your company, picking a health insurance plan is critical. With so many different options out there to choose from, how do you know which plan to pick? Here are a few factors to look at when you choose health insurance for your company.
Understand What’s Covered
When picking a health insurance plan for your company, it is important to find out exactly what it covers. Every insurance plan is different when it comes to what items are covered. For example, some policies will cover maternity care while others will not. You need to make sure that you understand exactly what conditions are covered and which are not. As a general rule, you want to get policies that are as broad as possible without being too expensive. This company’s website goes into some detail on policies and is worth a look when doing your research.
Maximum Coverage Limits
Another factor that you have to look at is the maximum coverage limits of the policy. Most policies have some kind of maximum coverage limit per year and over their lifespan. Because of this, you have to watch out when choosing a policy. You can’t just choose one based on the price if the maximum coverage limit is very low compared to a slightly more expensive policy.
Deductible and Co-Pay
When you are picking a health insurance policy for your business, you have to look at the amount of money that your employees will have to pay out of pocket when medical care is needed. This comes in the form of the policy deductible and co-pays. The deductible is the maximum amount of money that the employee has to pay per year out of pocket. The co-pay is a cost sharing device that employees pay when they go to a doctor visit or get a prescription. Every policy has a different co-pay and deductible and it’s important to review these figures. By raising the deductible amount, you can get lower premiums. At the same time, you don’t want to deductible to be so high that you can’t afford it.
Another factor that you should take a look at is the network that the health insurance company is a part of. Typically, you can get on the insurance company’s website and find out exactly what medical facilities except their insurance coverage. For example, if you have a few different hospitals in your area, and you prefer one over the others, you would want to choose a policy that covers care from that hospital. Otherwise, you might not be able to get the care that you or your employees really want.
When you are looking at potential policies, you might also want to take a look at the prescription benefits that it offers. Some policies have a wider range of prescription benefits than others. For example, they may cover more of name brand drugs while others only want you to get generics.
With so many different factors to consider, you might want to seek out the help of an insurance broker. Take the time to closely review your options before making any decisions about what type of policy to buy for your business.