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Why companies continue to offer group health insurance plans to employees

Why companies continue to offer group health insurance plans to employees

The Washington Post’s Sarah Kliff recently offered an explanation for a survey showing that zero of 512 companies planned to stop providing health insurance programs to employees as a result of the Affordable Care Act – offering these benefits pays off for employers.

Kliff asserted that these business leaders simply continue to believe that providing group health insurance plans offers a significant advantage in their efforts to recruit and retain talented professionals.

She went on to explain that the Affordable Care Act – “ObamaCare” – does not change the nature of the benefits equation for employers, whose chief concern is remaining competitive against other companies. Although they could eliminate expensive healthcare benefits for a mere $2,000 per employee, it would simply not be advantageous.

“They offer benefits not because any law requires them to but because it serves their interests,” wrote Kliff. “They can remain competitive when recruiting employees and keep their workforce healthier and more productive.”

This is an excellent point. We’ve previously reported on research from Truven Health Analytics, which indicated that employers can benefit significantly from offering health insurance coverage to staff members. And, it appears as though many employers agree with the conclusion that cancelling their benefits programs would have a significant negative impact on their ability to attract and retain top-quality professionals.

Companies that are looking to gain a further edge in their efforts to recruit leading talent should contact a firm of experienced corporate recruiters. Working with experts enables a company to conduct a fast, effective executive or financial professional search and come away with its staffing needs fully satisfied.

ExecutionistWhy companies continue to offer group health insurance plans to employees