Why is Group Health Insurance Crucial for Employers and Employees?

In recent years, a lot of importance has been placed on employee health and well-being, as they are the pillar of any business organisation. The concept of group mediclaim policy plays a pivotal role in the organisational structure, providing benefits to employers and employees simultaneously.

By understanding these benefits, employers and employees can strive to maximise their potential and make the most of it. Let’s explore the numerous benefits of group insurance.

Importance of Group Health Insurance For Employers

Group health plans are a component of small business insurance, providing employees with support and financial backing during health emergencies. Though it is primarily designed for employees, it holds equal importance for the employers too.

• • Builds Employee Trust and Confidence – When employers provide group insurance to their employees, it offers them support in times of medical emergencies. The employees feel valued and cared for, which boosts their trust and confidence in the employer and organisation. It, in turn, encourages them to put their best foot forward while performing their duties.

• Attracts Talented Professionals – Group health insurance coverage is a key factor helping employers to attract top talented individuals from the industry. Potential employees prefer working for organisations that provide health insurance coverage as it offers health security and is perceived as an added perk.

• Enhances Productivity – When the workforce is healthy, they perform their best and are highly productive. When employees have access to quality medical care and wellness benefits, they do better at their health and their jobs. Better-performing employees help the organisation achieve its objectives.

• Tax Benefits – Investing in group health insurance enables the employer to reap tax benefits. They can claim the deduction of premiums while paying taxes, reducing the overall tax burden. It helps them to save a substantial amount of money, which can be used as business capital.

• Enhances Company Reputation – Offering group insurance benefits reflects a caring and positive company culture among the employees, clients and in the market. This positive attribute enhances the company’s reputation, enforces employee confidence and also boosts their morale.

Importance of Group Health Insurance for Employees

• • Health Security – The primary benefit that group insurance provides the employees is that of health security. Group health blanket enables the employees to receive the best treatment and facilities during a medical emergency. Thus, they can recover quickly without any financial stress.

• Financial Safety – Another reason why group insurance is crucial for employees is that it offers them financial safety. Since the cost of medical treatment is covered under the insurance plan, employees do not have to worry about spending huge amounts on medical bills.

• No Waiting Period – With group health insurance, employees can get access to treatments without any waiting period, unlike individual health insurance. Thus, they can immediately get insurance coverage for pre-existing and other diseases, which may otherwise be included only after a waiting period of 1-3 years.

• No Premium Costs – Group health insurance plans are available for employees free of cost, as the employers pay the premiums. Thus, they can access all the benefits of the plans without paying any premiums from their pockets.

• Family Health Safety –  Many organisations also cover the employee’s family members under their group insurance plans. It includes the employee’s dependents, like spouse, children, parents, etc. Such coverage brings a sense of security to the entire family and the employee need not spend on separate insurance for his loved ones.

Features of Group Health Insurance Plans

1. Group health insurance provides comprehensive coverage, which includes the cost of hospitalisation, surgery charges, outpatient treatment expenses, and so on.
2. They can be tailored to suit the company’s requirements, such as the number of employees, age, health needs, etc.
3. Employees can avail of a cashless hospitalisation facility, which means they do not have to pay anything upfront.
4. Group health insurance also provides maternity and newborn care benefits to the insured employees.
5. It also includes customisation options to enhance the scope of coverage.

Get a Safety Blanket for your Employees with TATA AIG Group Health Insurance

Group health insurance is a safety blanket that holds significant importance for the employer and employee. For the employer, it serves as a tool to secure and retain employees, enhance the company’s reputation, gain tax benefits, etc. On the other hand, it is also important for employees as it offers them financial and health protection, safeguards their families and so on.

Employers looking for a valuable investment for their workforce can opt for TATA AIG’s group health plans. Featuring affordable premiums and comprehensive coverage, their insurance plans are exactly what you need to protect your employees’ health.

They cater to small firms, large organisations and various other entities with tailored insurance solutions for their employees, ensuring they receive adequate assistance during medical emergencies.

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