Group Health Insurance (2-50) – What is Group Health Insurance?

Group health insurance is a type of health care coverage that is purchased by an employer and then provided to a group of at least two people as a benefit for being employed by that company.

The vast majority of Americans have group health coverage through their employer or through the employer of a family member. In this article, we’ll take a look at how group insurance works, and how you can benefit either as an employer or as an individual by getting covered as part of a group.

Group health insurance is great for employers because by purchasing a group plan, you are able to offer all of your employees a very sought-after benefit.

Virtually one hundred percent of college graduates and alumni in a recent study said that health insurance was in their top five most important benefits, and most of them said it was number one.

This means that if you want to attract top talent to your company and keep the talent you have on your staff, offering health insurance is crucial.

Even if you are a middle to low education level employer or a small business, offering health insurance is a great way to show your employees that you care about their wellbeing.

Providing your employees with health insurance will also enhance your reputation as a fair and benevolent employer.

As an individual under a group health insurance plan, there are several advantages over other plans that you will want to make the most of.

For example, federal law mandates that if you are offered a group health insurance plan by your employer, then your eligibility cannot be revoked and you cannot be refused treatment due to pre existing conditions.

This essentially makes group health coverage a type of “guaranteed issue” insurance, which is a very highly sought-after coverage type, especially for those suffering from chronic illnesses such as diabetes.

Whether you are an individual considering a position at a company that offers group health insurance or an employer considering providing your employees with health coverage, knowing its advantages will likely help tilt the decision towards it.

There are variable rates for different group sizes and the size of the employer to help match your budget to the costs, and the guaranteed issue coverage makes the insurance a great way to provide older citizens or those suffering from pre existing conditions with the health care they need.