Most small business owners want to offer their employees, no matter how few, health insurance coverage. Those that think they can lower risk and save some money by not offering their employees health coverage will be seriously hurt in the long run. Others grudgingly provide it for the current tax breaks. What many small business owners fail to take into account is the glaring fact that if they do not offer health coverage, they will be unable to compete in the long run. Skilled, intelligent, and experienced employees will always opt out for a company that offers health care benefits.

• One of the most basic options is the HMO. With this type of insurance the small business owner can get in on a smaller rate and premium. However, most employees are not fans of the HMO model because of the restrictions with regard to doctors and available specialists and facilities. However, premiums for this type of coverage tend to be much lower than other plans.
• There are preferred provider organizations (PPO) that can be another alternative. With the PPO premiums can, also, be reduced but there is a certain network of doctors and health care facilities that your employees will be bound to. Options, along with the premiums, tend to be lower on these plans.
• One recent innovation is the Health Savings Account and the High Deductible Health Plan. The High Deductible plan comes with a $1,100 yearly deductible on most all kinds of care except for the regular routine type. The Health Savings Account. These can help your employees with their high deductibles and it has certain tax advantages. The High Deductible generally has much lower premiums than other choices and the Health Savings Accounts can be truly beneficial to your employees. One of the benefits is that part of the premium paid every month is diverted into the employees Health Savings Account. This can be a great morale booster for your employees.

There are many advantages and disadvantages out there so when meeting with your insurance advisor, it is best to understand your company’s position and needs and try to tailor plans that will benefit everyone.