Getting Your Employees the Coverage They Need

Health care coverage is a guarantee for Canadian taxpayers, as most of the nation’s health care costs are paid for through income taxes. Partly because of their administrative simplicity, they tend to be cost effective, with only 30% of expenditures coming from private sources like insurance and out of pocket payments. The system relies heavily on preventative care and early detection which can extend life expectancy and quality of life, all while reducing the overall cost of coverage.

Perhaps because basic coverage is generally effective, as many as one third of small businesses do not see how group benefit plans can help their businesses. However, they can help guarantee stable premiums and better health benefits for employees. Though big insurance companies often offer group benefit plans to supplement care for employees of large corporations, many small and midsize companies struggle to find group benefit plans that work for their businesses.

Fortunately, group benefit plans like the Canadian Employee Health Benefits Plan use “Smart Plan Design” to help small businesses develop solutions that work for them. CEHBP was specifically designed for small to midsize businesses to provide a common sense alternative to the group benefit plans offered by big insurance companies in Canada.

Basically, the Smart Plan design involves four steps:

1. Unbundle the employee health premium from life and disability premiums.
2. Use the current years’ health benefit premium dollars and subtract the new administration cost.
3. Determine the level of funded high deductible insurance desired.
4. Allocate the remaining funds to each employees’ tax-free health benefit account.

After following those four simple steps, small businesses are able to commence their group benefits plan, accepting better coverage through their employers.

Great health coverage doesn’t have to be a privilege only provided for large companies. If you’re one of the one third of small businesses who aren’t sure how a benefits plan can help your employees, get in touch with a representative. You’ll be amazed at how helpful and how easy group benefits plans can be!