Salary is not the only deciding factor for employee retention. In today’s world, employees tend to stick with companies that offer them health coverage. If they feel taken care of and protected by their employers’ health plans, they are more likely to stay for longer periods of time. Let’s take a look at what aspects of health insurance can impact employee retention.
Bowthorpe & Associates Insurance Producers want businesses to understand that quality health plans are an investment in your employees and should be treated as such.
Why Do Benefits Impact Retention?
Prospective and current employees take notice of their benefits. If a company offers its employees decent health coverage, that employee will feel like they are cared for by their employer rather than just another number. If employees have to worry about medical expenses, health insurance, and the like then their stress levels will rise and they will no longer enjoy their job like they used to.
Employees want to know that if they ever need to, they can see a doctor and receive the care that they need. If they are supported by their company’s health plan while receiving treatment for an illness or injury, they will be more likely to stay with that company.
Employee Turnover Is Costly
Did you know that it costs a significant amount of money to replace employees? When you have to hire someone, not only does it take time to find the right candidate, but you will have to spend money on training them and other resources so that they can effectively work for your company.
Losing seasoned employees also hurts your business because no new employee will know the ins and outs of your company like your current employees do. If you want to have a good retention rate, make sure that your employees have a reason to stay. By providing them with a solid health plan, you are giving them one of the best reasons to stay.
Offer Flexible Health Plans
In today’s world, we don’t just see health benefits as healthcare. We want our mental and physical health to be covered along with financial peace of mind.
Employees want to see that their insurance covers:
- Medical
- Dental
- Vision
- Mental health counseling
- Preventive care
- Telehealth
- Prescription drug coverage
- Health Savings Accounts
Different demographics of employees will value different benefits. Some may prefer more mental health coverage where others may want to see a lower deductible. By allowing flexibility in your health plans, you will have higher participation.
Invest In Preventative Care
One of the ways you can show that you care about your employees’ health is by allowing them to have preventative care. If something is caught early, it can reduce the cost of treatment.
Some services that you should look for in a medical plan include:
- Annual checkups
- Vaccinations
- Flu shots
- Health screenings
- Wellness incentives
Other companies are starting to offer fitness reimbursements, premium discounts, and wellness rewards to encourage their employees to participate.
Provide Mental Health Services
One of the biggest reasons employees leave their jobs is because they no longer feel trusted or like they can speak to someone. If your employees are showing signs of stress, they could be at risk of burning out or causing them to become unhappy with their job.
Studies have shown that by providing employees with mental health services such as:
- Counseling
- Teletherapy
- Employee Assistance Programs (EAPS)
Employees will feel more comfortable and willing to stay with your company.
Culture Is Important
A big part of providing health coverage to your employees is your company culture. If your employees feel like you don’t care about their wellbeing, they will look elsewhere.
Companies that are known to have great benefits for their employees will have higher quality people wanting to work for them. Also, employees will talk. If they feel you aren’t providing them with a good benefits package, they will tell others.
Another thing to consider is that when you provide employees with a good health plan, you are showing them that you care about them and their families. Sure, businesses are about profit, but we also want to make sure that our employees are able to take care of their families if they become sick.
It Can Also Benefit Your Business Numerically
I know I already said this, but hear me out. If you have a good retention rate, you will be saving your business money on hiring and training employees.
Not only will healthier employees take less days off, but your business can also benefit from tax deductions. When you provide your employees with a health plan, that can qualify as a deductible expense to your business.
Provide Online Access To Health Services
In today’s day and age, we like things to be readily available at our fingertips. If you want your employees to take advantage of the health care services that you are providing, you should provide them with:
- Telemedicine
- Digital prescription services
- Virtual therapy platforms
- Mobile apps that focus on wellness
Online services can be very beneficial for employees who are working remotely or in a work-from-home position. Not only will they be able to still receive the health care services that your company provides, but they will also be encouraged to seek help early on before an illness or injury gets worse.
Know Your Data
As an employer, you should be aware of how your employees feel about your company’s health plan. You can figure this out by:
- Employee retention
- Employee absenteeism
- Wellness program participation
- Health care services used
- Employee surveys
Ask for feedback. Let your employees know that you care about their thoughts and opinions when it comes to your company’s health plan.
Conclusion
As you can see, employees want to feel protected. If they know that they can receive health care should they ever need it, they will feel comfortable knowing that they can still provide for their family if they’re unable to go to work.
Bowthorpe & Associates Insurance Producers can help you find the perfect health plan for your company.
Frequently Asked Questions
How can health plans help with employee retention?
Employees will feel less stressed about medical problems and feel like their employer has their best interest in mind.
What benefits should I offer my employees?
There are many benefits that you can offer your employees. However, some of the benefits that employees look for are mental health coverage.
Do small businesses need to provide health coverage?
Small businesses can provide health coverage to their employees. By offering your employees a flexible health plan, you can remain competitive.
Why is mental health coverage important?
If your employees feel like they can’t talk to anyone about what they’re going through, they will eventually look for a new job that will allow them to feel comfortable again.
Should I ask my employees what they think about our health plan?
Yes! You should always ask for your employees feedback.