Why Should I Offer Ancillary Benefits?
A
ncillary benefits are health benefits offered by employers in addition to a standard health plan. Examples include dental, vision and accident/injury benefits, as well as non-insurance products such as retirement plans.
Over the past few years, many employers have been working toward decreasing costs and limiting spending, so you may be wondering why you should offer your employees additional benefits on top of their standard health insurance plan.
Here are just a few reasons:
- Offering a health plan is not enough to keep employees healthy. An all-encompassing plan promotes a healthy and productive working environment.
- Rich benefits packages also help attract and retain top talent.
- Research shows that ancillary benefits (especially dental and vision) are helpful in the early detection of diseases and/or conditions and therefore support lower medical claims in the long run.
- Ancillary benefits are AFFORDABLE! Purchasing at a group level is much less than purchasing an individual policy. With group ancillary insurance products, the risk is spread out amongst your company, which keeps premiums reasonably priced.
- Many premiums are paid with pre-tax dollars.
The cost of ancillary benefits doesn’t necessarily need to be picked up by the employer either. It can of course be completely covered by the employer, but it can also be shared with the employees by arranging an employer/employee split.
To learn more about ancillary benefits and what will work best to complement your standard health plans in 2013, contact Employer Solutions Plus.