With the NHS under increasing strain and growing demand for physical and mental health care, employers have an opportunity to design an enticing rewards package that will benefit both employees and the business in the long run.
According to a recent report published by Engage Health in collaboration with Hooray Health & Protection, private health insurance is one of the most desired benefits in the workplace. But what exactly is private health insurance, and how can it benefit your company?
Understanding Corporate Health Insurance
Corporate health insurance is a type of business health insurance purchased by an employer to cover its employees’ medical bills for acute medical conditions that arise after the policy’s start date.
The employee is the end user of corporate health insurance, which is a contract between the company and the health insurance provider. Corporate health insurance can be included in a company’s benefits package to help attract new talent, reduce sick leave, and increase employee motivation, productivity, and loyalty. As a result, private medical insurance can positively affect a company’s bottom line.
Employees who have access to health insurance through their employer can get private healthcare when they need it instead of waiting for the NHS, and their eligible medical bills are covered. They would also have more control over their treatments and feel more valued in their roles because their physical and mental well-being would be supported.
Benefits of Corporate Health Insurance
It is not a legal requirement to provide corporate health insurance to your employees. However, the advantages of business health insurance can provide both immediate and long-term value to both the employer and the employee. Among the advantages are:
For Employees
- Employees can bypass NHS waiting lists and obtain treatment more quickly through private healthcare.
- When employees make an eligible claim under corporate health insurance, the health insurance provider pays their hospital bills, providing them with greater financial security.
- Getting treatment in a private hospital often entails having a private room with amenities such as an ensuite bathroom, television, and meals.
- When using private healthcare, employees can select the hospital, specialist, and date and time they want to receive treatment; however, this is dependent on the level of coverage purchased.
- A corporate health insurance policy that includes the employee’s family will provide additional reassurance and relieve financial stress if a family member or dependent becomes ill.
For Employer
- Employers who provide their employees with access to private healthcare may benefit from faster diagnosis and treatment as well as reduced sick leave.
- Employees’ trust in the company can be increased by demonstrating that their health and well-being are taken care of, making them more productive and loyal.
- If an employee needs medical treatment for a qualifying illness, private hospitals typically have shorter waiting lists than the NHS, allowing employees to return to work sooner.
- Corporate health insurance providers will usually allow employers to tailor their plans to their specific needs and budget.
- People prioritize their families’ health and well-being, so if employees have the option of adding their family to their coverage, they can gain faster access to private healthcare and thus reduce the need for compassionate leave.
The Cost of Corporate Health Insurance
The cost of corporate health insurance can vary depending on a number of factors, including the level of coverage and benefits included in your plan, the number of employees enrolled, and their average age.
Corporate Health Insurance vs. Individual Health Insurance
Individual health insurance and corporate health insurance are both types of private medical insurance, but there are some key differences between the two. Here’s a rundown of the main distinctions between corporate and individual health insurance. Here are some pointers to consider;
- The applicant for the coverage and the one who decides the benefits is decided by the employer, unlike the individual policyholder in the latter discussed.
- The other thing to consider is who will be covered in the policy. This will also be decided by the employer or the employee who has dependents over him. However, the individual health insurance must be determined by the policy holder.
- The next is to consider who will pay the premium. The employer must pay the premium.
- Employees, their dependents, or the employer can make claims for the benefits covered in the premium.
- Moreover, the changes that need to be made to the policy and claiming the benefits can be done by the employer or the employee. However, as for individual health insurance, the policyholder can make the changes themselves.
The Final Words
If you are looking to get corporate health insurance plans for whatever your industry or business specifics are, you can find the best package with Heritage Insurance, the leading insurance brokers in Bournemouth.