Which Small Group Health Insurance Plan Is Right for My New Business?

It's a new year. You're finally ready to strike out on your own. You've got a killer business plan, a perfect location and an office full of brand new, state-of-the-art equipment. The people you're interviewing are bright, eager and anxious to settle into a new position with your promising new company. One problem: you still haven't chosen a group insurance plan. Even more concerning, said eager prospects are asking a lot of questions about which benefits you will be offering. What to do?

On the plus side, you're not alone. Choosing the best small group coverage is a dilemma that almost every new business owner will have to face at some point. You want a plan that meets the wide-ranging needs of your staff, as well as one that won't make it impossible to turn a profit each month. Here are a few things to keep in mind when deciding which small group insurance plan to commit to.

Do your homework
One of the biggest mistakes a new business owner can make is to rush into small group coverage without doing the essential back-end research. This includes talking to your new and prospective employees about what they want from their health insurance plan, comparing apples-to-apples policies from different providers and asking professional colleagues what has and hasn't worked for them. Be honest with yourself about what you can realistically afford to offer, and more importantly, what you expect in return. Ask questions. Does my budget allow me to offer a premium plan? Which insurance provider offers the best coverage at the lowest cost? Should I go with a high deductible plan? What are the benefits of HSA (health savings accounts)? Is my family covered under my company's plan? These are all good questions to consider before signing on the dotted line, and moreover, reasons to consider working directly with a local health insurance broker.

Consult an Experienced Insurance Broker
Why work with a health insurance broker? For the same reasons you consult an accountant during tax season, or take your children to a board-certified physician during cold and flu season. Insurance brokers know the ins and outs of the insurance industry better than anyone on the planet, making them immeasurably helpful when it comes to choosing the small group plan that is just right for your business. By taking an objective look at your company and employee structure, a qualified insurance broker can make it easy to find a small group plan that is affordable, flexible and appealing to your staff. In the long run, this can give you and your staff the peace of mind they need to perform well, and has been shown to help attract and retain more talented employees.

 

Explore all your options
If you're new to the world of entrepreneurship, it is safe to assume that until now you've been covered under your former employer's health insurance plan. There, you were likely limited to a very small number of options for you and your family. As you'll quickly learn, there are scores of options available when it comes to small group insurance plans, such as plans from Blue Cross Blue Shield, Humana One, United Health Care, Aetna and several others. These are all highly respected providers with track records of success and integrity. If you're starting a new business in 2012 and want to learn more about your small group insurance options