April 29, 2024
Agency
Worksite Benefits in Vienna, VA
Worksite insurance benefits, also known as supplemental insurance, are a cost-effective solution to help employees offset out-of-pocket medical expenses. These benefits are typically employee-paid and can help your employees fill the gaps created by high deductibles and rising co-pays, providing the financial security they need and deserve.
What Are Worksite Insurance Benefits?
Worksite insurance was born as a response to the rising medical bills for employees. It can be a great supplement to high-deductible medical plans as they help employees offset the cost of major medical expenses. The following are the most common options for worksite benefits:
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Accident coverage may help with low-severity, high-frequency medical events, such as a broken leg from a car accident. Employers can offer occupational coverage and/or nonoccupational coverage. Occupational coverage may provide benefits regardless of whether an accident occurs at the insured’s workplace or off the job. Nonoccupational coverage may only financially cover accidents outside the workplace.
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Hospital indemnity coverage may help pay for expenses associated with hospital stays. A carrier may provide a hospital admission benefit, an ICU admission benefit or both.
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Critical illness coverage may cover high-severity, low-frequency medical events, like heart attacks or cancer diagnoses. It’s a lump-sum policy that pays out when you experience that specific medical event.
How Much Do Worksite Benefits Cost?
The cost of worksite insurance can vary significantly depending on several factors. For example, occupational accident coverage can be considerably more expensive, and if the group is a lower-earning industry, it’s unlikely enough employees will enroll. This will impact participation, and if it’s not high enough, carriers will ultimately choose not to offer coverage.
Hospital indemnity benefits can also be costly, so brokers should help the employer understand the combined cost of the employee’s medical and hospital indemnity premiums to determine if it will be worth the price. And since this product is participation-based, the carrier may either increase rates or cancel the coverage if enrollment numbers are below a certain threshold.
How to Get Insurance Benefits for Employees
Worksite insurance benefits can be a valuable addition to an employer’s benefits package. They offer additional financial protection to employees, helping them manage the cost of health care. However, it’s essential for employers to consider the needs of their employees carefully, as well as the cost of the benefits and the participation rates when deciding which worksite insurance benefits to offer. Contact Benefits Drive to discuss your benefits package today.
This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.
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