Group Insurance for Small Business

Group insurance or group health insurance for small businesses is a comprehensive policy that provides coverage to small business employees. Employers often buy insurance for their employees. The plan covers the medical and financial needs of employees in case of an emergency. Moreover, its coverage benefits can be extended to dependent family members.

Several other benefits of small business group health insurance will be discussed further. But before that, let us learn about various types of group health insurance.

Here are the various types of group health insurance policies available in India:**

-Group Mediclaim Policy: This is one of the most common group health insurance policies under which employees get medical coverage, which is sometimes extended to dependent family members.

-Group Personal Accident Insurance: The plan works similarly to personal accident insurance. However, group personal accident insurance is an employer-provided plan that covers the expenses that occur due to accidental injuries. The policy covers the employee’s medical coverage for accident injuries leading to hospitalisation, disability (both partial and permanent) and death.

-Workmen's Compensation Insurance: It is an insurance plan offered by employers to their employees, as per the Employee Compensation Act, and the Ministry of Labour governs it. The central concern of the plan is to provide coverage for the employer's statutory liabilities in the event of injury or death of the employee due to an accident during their employment.

-EDLI Insurance: Group employee deposit-linked insurance, or EDLI, is part of the EPF scheme. The benefits of this plan depend on the employee's contribution to the EPF plan.

-Public Liability Insurance: Also known as third-party liability insurance, this plan can be purchased by businesses that work with clients, employees, the public or agents. It provides coverage for third-party liability that arises due to third-party person or property loss.

Every small business has its own needs and budget, depending on which they can research and select the best group health insurance for startups.

Here are some of the benefits or reasons why small businesses should invest in buying group health insurance for their employees.

Holistic Employee Care

Employees are crucial for small businesses to scale and become successful. By giving special attention to employee healthcare, employers can boost their employees' morale and inspire them to work better. With good small business group health insurance, employees get a holistic health care package that eases their concerns about emergencies.

Protection from Unexpected Employee Expenses

Life is full of unexpected events, but there are some events that we can prepare ourselves for. By buying group health insurance for small business employees, owners can save them from expected and unexpected healthcare expenses. The insurance provides coverage for planned or emergency hospitalisation, accidental injuries and other unforeseen medical emergencies.

Scalability

With group insurance for small businesses, employers can not only provide for their employee's medical emergencies, but these affordable and easily customisable plans are easy on the company’s limited budget as these plans are scalable and the business can customise the plan as it grows with time.

Adopting Technology

The world is moving at a faster pace, and the revolution of technology has never been this impactful on people’s daily lives. Thus, small businesses need to look for group health insurance that provides protection for their employees and helps them cut healthcare costs.

Buying an innovative group mediclaim policy that provides coverage regardless of where employees are situated or what their medical conditions are is today’s need. It will not only be a strategic move but also help businesses and employees adjust with new technological advancements with ease.

Easy Customisation

Every business has a unique set of insurance needs. With the easy customisation feature of group insurance, employers can customise the plans as per the medical needs of different employee groups in the organisation. The customisation offers need specific protection for the employees and employers can invest smartly in the small business health insurance costs.

Low Hiring Costs

Small businesses are in their growing stage, where they need employees who can help them scale the business using their skills and knowledge. To attract and retain great employees in small businesses, employers need to provide extra incentives other than salary.

A good group health insurance for small businesses helps them do it. When employees feel protected and secure, they get a good morale boost, enhancing their productivity. Moreover, having such good employee benefits helps the business attract new and better talents while retaining the old ones, thus decreasing the company's employee turnover and hiring costs.

Tax Benefits

Group health insurance for startups benefits small businesses' employees and owners. By investing in group health insurance for their employees, small businesses can become eligible for several tax benefits and rebates under various sections of Income Tax. Being insured benefits both employees and employers in terms of health and finance.

Choosing the right group health insurance that provides maximum coverage to employees can be a daunting task. These tips can help employers choose the right insurance for their organisation:

-Know Employee Needs: As employers, companies need to assess the needs of their employees before buying health insurance. It includes knowing factors like employee age, family members, medical history, etc.

-Compare Companies: There are various group health insurance companies out there; employers need to choose the one that provides maximum benefits to their employees and them. Get multiple quotes to compare plan features and additional benefits.

-Network Hospitals: Having a vast network of hospitals in close proximity can become a crucial matter during emergencies. Thus, before buying any group health insurance for startups, make sure that the insurer has good facility hospitals and has a vast network of hospitals.

-Read the Documents: Policy documents contain all the finer details of the insurance. Employers must read everything in the policy document carefully. Note down all the exclusion and inclusion points and clear doubts regarding any policy term before signing the documents. It will save both the employees and employers from inconvenience in the future.

-Add-on Covers: Group health insurance covers planned and emergency hospitalisation and other medical emergencies. However, employees can have specific health concerns, too. As such, it becomes beneficial if the policy comes with some add-on covers that can provide coverage for specific medical needs. For example, having an add-on cover for dental and eye care can be beneficial for most employees.

Group health insurance is one crucial business insurance India that every small business owner must invest in. It not only covers the medical emergencies of the employees during their duty but also benefits the business by retaining great talents and scaling their business.

Moreover, by getting group health insurance, business owners also comply with the rule that was set up post-COVID-19 pandemic. The rule makes it mandatory for the employees to get group health insurance for their employees to avoid any inconvenience or violation of the rules.

Small business owners can research and understand their business needs and then buy group medical insurance accordingly. Wth Tata AIG group medical insurance, small business employees can get comprehensive coverage for themselves and their families.

What is the age limit for group insurance?

The minimum age criteria for group insurance is 18, while the maximum age limit varies from 60 to 80, depending on the insurer's terms and conditions.

Who is not eligible for health insurance?

Solopreneurs, or those running businesses themselves without any employees, do not qualify to get group health insurance.