Benefits of Group Health Insurance for Employees and Employers

Onsurity Editorial
March 7, 2024
5 min read

Group Health Insurance

Group health insurance is a form of coverage that offers comprehensive medical benefits to a group of people, such as employees of an organization. Under this plan, unforeseen medical costs are mitigated, and coverage for pre-existing diseases, as well as pre and post-hospitalisation expenses, is provided.

In India, group health insurance is mandated by the government for all employers, ensuring employees and their families receive necessary healthcare support. Whether you’re a start-up or an established organisation, understanding group health insurance can help you take care of your team effectively.

This is one important investment toward nurturing employee well-being and promoting a positive work culture that everyone would appreciate.

Group Health Insurance Benefits for Employees

As an employer, offering a group health insurance policy to your employees demonstrates not only the value you place on their contribution to the company but also emphasizes your concern for their welfare. Let’s delve into what are the benefits of group health insurance plans for employees.

1. Comprehensive coverage

One of the advantages of group health insurance is that it covers a wide array of medical costs. The policy could include hospitalisation as well as pre and post-hospitalization expenses. This can help make your team feel assured that they are financially protected.

2. Coverage for dependents:

A group health insurance plan often extends coverage to employees’ loved ones. This means not only are employees covered, but their families are too.

3. Additional benefits:

Many group health insurance policies include added perks such as maternity benefits, mental health support, preventative care programs, annual health check-ups, and even teleconsultations.

4. Attracting talent:

It’s no secret that benefits play a big part in attracting top talent and retaining employees of a company. A comprehensive group health insurance policy can help you stand out in the competitive job market.

Also, Read: Group Health Insurance for Small Business

Drawbacks of Group Health Insurance for Employees

The benefits and advantages of group health insurance plans are clear. However, is group health insurance likely to have drawbacks? Yes, it is. Here are a few to consider:

1. Limited coverage:

The coverage offered by a group health insurance plan can be limited. While it provides coverage for pre-existing diseases and hospitalisation expenses, it may not cover specific treatments or health conditions.

2. Lack of personalisation:

Group health insurance caters to a wide range of employees. Therefore, what is included in the health insurance plan may not be suitable for everyone. For instance, an employee with a particular chronic condition might require different coverage than what the group health insurance policy offers.

3. Dependent on job status:

Group health insurance is tied to employment. In case an employee leaves the company or loses their job, they lose their health insurance coverage as well. It can be particularly concerning for employees who have ongoing medical conditions.

While group health insurance is one of the most common ways to provide health benefits to employees, it does have its limitations. Remember, providing the right kind of group health insurance coverage is not just about meeting a legal requirement; it is also about ensuring that your workforce stays in good health.

An understanding of these drawbacks can help employers make informed decisions about which type of insurance best serves their team’s needs. Many new-age insurtech companies like Onsurity offer customised group health insurance plans that can help cater to the varying needs of your team.

Also, Read: Group Health Insurance Exclusions

Group Health Insurance Benefits for Employers

Opting for a group health insurance policy provides a host of advantages not just for the employees, but for the employers as well. Let’s discuss some of the top benefits for your enterprise.

1. Employee retention and attraction:

A robust group health insurance plan can serve as an effective tool for attracting and retaining the best talent in the industry. Employees value health protection, especially in current uncertain times, making this a compelling part of your compensation package.

2. Improved productivity:

Ensuring that employees have access to quality healthcare can result in better overall health and well-being, leading to enhanced productivity and reduced absenteeism, which benefits the organisation as a whole.

3. Economical:

Group health insurance plans are less expensive compared to individual health insurance policies. This is due to the risk being spread over a larger group of people.

4. Comprehensive coverage:

These policies generally offer broader coverage including pre and post-hospitalisation expenses, making them more comprehensive than individual policies.

Benefits of Onsurity’s Group Health Insurance

In the dynamic realm of growth and competition, it is essential not only to recruit talented professionals, but also to retain them. One way to achieve this is with group health insurance. By choosing Onsurity’s group health insurance policy, you’re not just ensuring your employees’ wellbeing but are also boosting the overall productivity of your organisation.

Let’s explore the unique features of the group health insurance plan that Onsurity has to offer:

Accessible and affordable: Onsurity’s group health plan is cost-effective starting from a mere INR 145 per employee per month, making it feasible for micro-to-medium scale enterprises.

Comprehensive coverage: Onsurity’s group health insurance policy for employees covers in-patient hospitalisation, daycare treatment, pre- and post-hospitalisation costs, ambulance charges, and regular and ICU room rent.

Customised plans: Every organisation is unique, and so are their needs. Onsurity offers customised group health insurance plans to cater to specific organisational needs.

Family coverage: The comprehensive coverage isn’t limited to employees; their immediate family members also enjoy the benefits of group health.

Zero out-of-pocket expenses: This feature ensures that your employees don’t have to pay for healthcare expenses from their pockets, providing them adequate financial security.

Ease of use: The platform is user-friendly, making personalised healthcare accessible to startups, SMEs and major corporations alike.

End-to-end claim assistance: Dealing with medical conditions can be challenging enough without worrying about the complexities of claims. Onsurity provides end-to-end claim assistance, ensuring a smoother process for individuals navigating their healthcare coverage.

Immediate coverage: Unlike individual health insurance, which often comes with a waiting period, Onsurity’s group health insurance plans offer immediate coverage right from day one.

Alternative treatments: Treatments such as Ayurveda, Unani, Siddha, and Homeopathy are also covered by Onsurity’s group health insurance plan. However, it’s recommended that you go through the policy terms and conditions closely.

Also, Read: Why Startups Should Buy Group Health Insurance?

Conclusion

As an employer, providing health insurance for employees can be incredibly rewarding, with advantages of group health insurance going beyond merely economic benefits. From boosting employee morale to fostering a sense of shared responsibility within the team, group health insurance has it all.

Onsurity’s group health insurance for businesses is more than just insurance; it’s a commitment to your employees’ wellbeing. By providing comprehensive health benefits to your team, you’re not just covering their medical expenses. You’re demonstrating empathy and endorsing a healthy work culture. This, in turn, boosts morale and fosters loyalty among your staff.