Florida has the most small businesses in the United States; According to the Small Business Administration’s 2023 Small Business Profile, 99.8% of businesses in the state classify as a small business. With 3.6 small business employees throughout the state, owners in the state have to consider the role of health insurance when it comes to boosting productivity, taking care of their team, and attracting the greatest talent available.
There are more reasons to offer health insurance than taking care of employees. It has a ripple effect on productivity, performance, and loyalty that can strengthen your business and even help you save money.
Read on to discover 10 reasons why offering Florida health insurance is an asset for your small business.
1. Attract Top Talent
Health insurance is not merely a job benefit; it is an essential service that people often rely on their jobs to provide. While people can pay out-of-pocket for their own health insurance, the cost is high. SHOP plans can range from $190 to $940 a month, depending on a person’s age and the type of plan they choose.
Job candidates seek out companies that offer competitive benefits packages that improve their lives and give them peace of mind.
2. Retain Valuable Employees
Benefits play a large role in employee retention; a benefits survey by PeopleKeep reveals that 87% of employees value health insurance. Without offering health coverage, employers run a large risk of being passed over by talented candidates who could strengthen their company.
Alternatively, businesses that choose to offer health insurance can attract and retain more employees. When people feel supported by their employers, they feel more loyal and motivated. Not only does this improve their desire to do their best, but it helps them perform their tasks more efficiently. Boosting employee morale requires a wide range of tactics, including offering health insurance and other benefits that make employees feel secure.
3. Enhance Employee Morale
Employees with health insurance are more likely to be satisfied with their jobs, more engaged in their work, and more loyal to their businesses. Health insurance does more than offer coverage for routine healthcare and emergencies; it can offer support for mental health conditions, bring peace of mind, and foster a sense of safety and assurance among workers. Those who have families can feel more confident knowing they have coverage available to care for their dependents.
When considering the role of health insurance in employee morale, it’s important to remember health coverage is an investment in your employees’ entire well-being.
4. Tax Advantages
Small businesses in Florida that offer health insurance have the possibility to lower tax expenses through tax credits and deductibles. In addition to the many small business tax credits available for hiring diverse employees, the Small Business Health Care Tax Credit opens the door for you to save up to 50% of the costs you pay toward your employees’ premiums.
5. Tax Benefit for Employees
Employees can also enjoy tax benefits when they work for a small business that offers health insurance. Many companies allow their employees to pay their premium contributions with pre-tax dollars. This ultimately lowers their paycheck before federal income taxes are deducted. In turn, they have a lower tax burden to worry about.
Small businesses that offer health savings accounts (HSAs) can increase employee savings further by allowing them to make pre-tax contributions that can be deducted from their taxes. Funds that they do not withdraw for qualifying medical expenses roll over to the next year and remain tax-free.
6. Increase Productivity
Employee health plays a large role in productivity. People who feel good physically and mentally have more energy available to commit to their jobs without becoming burnt out. Access to affordable healthcare helps reduce absenteeism and improve overall performance.
A McKinsey Health Institute study of 30,000 employees in 30 countries revealed that employees in greater holistic health were more likely to perform better. Holistic well-being includes physical, emotional, and mental wellness.
7. Compliance with Regulations
Small businesses must provide health insurance if they employ over 25 employees. Chapter 627, Section 699 of Florida State Statutes outlines employees’ rights to health insurance. Employers must ensure that they comply with state regulations and the Affordable Care Act (ACA) by providing health insurance when they’re legally obligated to. If you meet the qualifying criteria, health insurance is a mandatory part of your company’s benefits package.
8. Improved Employee Health
Employees with health insurance have greater access to preventative care, early intervention for illness, and disease management. They can address both acute and chronic healthcare needs more efficiently, and avoid unnecessary suffering because they are unable to access affordable treatment options.
Don’t overlook the long-term benefits of health insurance; it gives employees the opportunity to continually care for themselves at every stage of life. From managing pre-existing conditions to accessing prenatal care, health insurance opens the door to essential medical support.
9. Competitive Advantage
Competitive benefits packages highlight a company’s culture and commitment to its employees. Offering good health insurance options as part of your compensation can help employees feel supported and cared for.
Companies that offer health insurance as a benefit can build more robust plans that exceed those of other organizations; rather than offering the bare minimum to meet compliance regulations, you can offer comprehensive coverage and customizable policies that help your employees access the care they need at a rate they can comfortably afford.
Health insurance plays into helping employees achieve a greater work-life balance. When they can access medical attention whenever they need it, they can engage in greater self-care and reduce their risks of illness and disease.
10. Support for Employee Families
Individual health insurance is a major benefit, but keep in mind, many people have dependents. Spouses, children, and other qualifying family members can also be covered under a small business health insurance policy.
The peace of mind that health insurance provides extends beyond the employee to the people they love the most.
The added financial security and sense of support they’ll feel will enhance their emotional well-being and provide a sense of fulfillment. Being able to take care of their loved ones makes employees feel proud, and that sense of pride in their job translates directly into their output.
Explore the Top Small Business Health Insurance Plans in Florida
Live Health helps over 1,500 clients every day. Our experienced agents understand the laws and needs of small businesses throughout Florida, and we offer free, personalized quotes to help you get the best coverage at the right cost.
Contact us today to get a free estimate! If you have questions, call us at 866-624-1653! We are available seven days a week, 6:00 AM to 11:00 PM.
