Park City, Utah (PRWEB) May 19, 2013
Today, Zane Benefits, Inc. published a new information on small business health insurance. Zane Benefits, which provides comprehensive and flexible alternatives to traditional employer sponsored health benefits, is the leader in health care reform, defined contribution and health reimbursement arrangements.
According to Zane Benefits’ website, many small businesses, start-ups, and the self-employed intrinsically know the value of small business health insurance for themselves and employees. And because of this, small businesses offer health benefits for themselves and employees by purchasing a group health insurance plan, individual policies, or a defined contribution health plan. But what is the value of health insurance? It may sound obvious, but small businesses don’t always understand the basic purpose of health insurance or how it works. There are three main ways health insurance helps protect the self-employed and small business owners (and their employees): protects finances, protects health and protects the small business.
Value of Small Business Health Insurance #1: Health insurance protects small business finances
Health insurance protects the finances of small business owners and employees. Having insurance entitles members to discounted rates for medical care because insurance companies negotiate rates with health care providers. Without coverage, the fee charged for a regular office visit can be twice as high for the same service with coverage.
Additionally, health insurance helps protect employees from unexpected medical costs. Even if the health plan requires members to pay certain costs out of pocket, being covered can help save owners and employees from bankruptcy in case of injury or hospitalization.
According to a Harvard University study, medical expenses is the biggest cause of bankruptcy, representing 62% of all personal bankruptcies (2010). While having health insurance doesn't prevent medical bankruptcy 100%, it does help mitigate the costs of expensive medical treatments or injury.
Value of Small Business Health Insurance #2: Health insurance protects employees health
Generally speaking, health insurance improves employees access to quality care. As a member of a health insurance plan, employees gain access to a broad network of health care providers. Health insurance also provides employees critical care. While uninsured patients will often get emergency-room care and be billed after wards, a provider may not perform treatment for a life-threatening chronic condition without an up-front payment.
Health insurance also encourages a healthier lifestyle for small business owners and employees. For example, employees may be more likely to take advantage of regular checkups and preventive care if they know it will be free or a low-cost co-payment. This contributes to healthier employees, more productive work and fewer sick days.
Value of Small Business Health Insurance #3: Health insurance protects small businesses
For a small business owner or self-employed person, health insurance shields small businesses from personal medical costs. An unexpected personal medical expenses can be devastating on small business. By limiting personal liability for medical costs, health insurance can help keep small businesses operating during times of illness.
Small business health insurance also helps small businesses hire and retain the most talented workers. Offering small business health benefits, including a defined contribution health benefits plan or stand-alone health reimbursement arrangement, is valuable enticement in a total compensation package.
About Zane Benefits
Zane Benefits was founded in 2006 to provide a revolutionized SaaS (Software-as-a-Service) administration platform ("ZaneHRA") for Health Reimbursement Arrangements (HRAs) and defined contribution health care. The flagship software provides a 100% paperless administration experience to employers and insurance professionals that want to offer better health benefits without a traditional group health insurance plan at lower costs. For more information about ZaneHRA, visit http://www.zanebenefits.com.