January 30th, 2010 by admin

Choosing a group health insurance plan for your small business requires careful research. Affordable health insurance is very important to potential employees, many people will accept a lower salary in exchange for affordable health insurance. Your small business may be able to attract better quality employees with a good group health insurance plan as one of the benefits your company offers.

Once employees get married or start a family, affordable health insurance becomes more important to them. If you do not offer a group health insurance plan, you will see employees leave to take another job at a company that offers affordable health insurance. Your company will lose experienced employees to other companies that chose to offer a group health insurance plan as a benefit.

You may think this is not a problem in a recession, when unemployment is at an all time high, but it is. For every employee that leaves, you will have to hire and train another employee. This takes time and costs money. If the new employee doesn’t work out, you will have to start all over again.

Rising health care costs have made many small business owners shy away from offering affordable health insurance to their employees, but if your company is experiencing a high turnover rate, you should consider group health insurance as an employee retention tool.