All about Group Health Insurance for Startups

Startups today operate at a shoulder-to-shoulder level with big corporations when it comes to providing the right benefits to their employees. One such popular fringe benefit is Group Health Insurance, which helps small businesses and startups to remain attractive and competitive despite the presence of larger players in the market.

Besides helping meet the empathetic expectations of the employees, a group health insurance plan assists startups and newly-launched ventures in keeping their productivity levels high, by taking care of their employee’s well-being.

The importance of group health insurance has become even more evident since the pandemic declared COVID-19 hit the world. It has not only contributed to the onus of the employers to provide for the corporate medical cover but also made the employees more inclined towards the companies which take care of these needs.

What does a Group Medical Insurance for Startups Cover ☂️?

A group health insurance plan is a medical cover that provides health insurance coverage to the employees of an organization. Like other health insurance coverages, its coverage can be extended to the spouse, children, parents, and even to the parents-in-law of the employee against the payment of an additional premium.

Plum Lite is a unique subscription-based, affordable employee healthcare benefit and medical plan which enables startups, small teams, young companies, SMEs, and emerging businesses to take care of their employees’ health insurance requirements. It provides the following coverages to an employee.

In-patient hospitalisation expenses of up to Rs. 5 Lakh.
Daycare treatments that require less than 24 hours of hospitalisation.
Ambulance cover of up to Rs. 1,000.
Cover for critical illnesses such as heart attack, cancer, etc.
Treatment for COVID-19.

Besides the above-mentioned benefits, Plum Lite also provides the following complimentary advantages to the insured.

Medicines and health checkups at discounted rates.
Weekly wellness sessions.
Unlimited doctor consultations.
Dental consultations and treatments.

How do Startups benefit ? by providing Group Health Insurance Plans?

Group health insurance is a win-win game for both the startup and its employees. Following are 3 key benefits enjoyed by small businesses by providing health insurance benefits to their employees under a single umbrella.

1️ High employee retention: When an employer provides group health insurance to your employees, it helps pass the message that you care for them. And this sense of being taken care of gives your employees a feeling of belongingness, which in turn translates into lower employee turnover and boosts the operational efficiency of the business.

2️ Increased performance: As rightly said by Sir Richard Branson, “If you take care of your employees, they will take care of your clients”. No matter, in which era we live in, this remains one of the truest business lessons. A well-treated employee will always provide better customer services which will ultimately result in increased performance.

3️ Brand value appreciation: The culture of a company is formed by the people working at it. And, a company’s culture is as thriving as happy its people are. When you take care of the physical and mental well-being of your employees, by providing them and their families access to quality healthcare, you will accelerate the value of your brand. It will not only help you attract top-notch talent but will also positively affect your company’s valuations.

How much does Group Medical Insurance Plans cost to a Startup?

The cost of group medical cover for startups depends on the plan and the coverages opted for. Plum Lite helps you provide complete medical care and health benefits to your employees for as low as Rs. 85/month (per employee). Moreover, the plan can be tailored as per your specific requirements for coverage and the team size.

Things to check ✔️ before selecting a Group Health Insurance Plan

Besides the coverage, the following are some of the things that must be checked before buying a group health insurance plan.

1️ Claim settlement ratio: It is the percentage of the total number of claims settled by an insurance provider out of the total claims received by it in a particular financial year. It represents the claim settling capacity of an insurance company. The higher the ratio, the better it is.

2️ Strength of Network Hospitals: Every insurance company has tie-ups with certain hospitals and clinics where they provide the facility of cashless treatment. These hospitals are referred to as network hospitals. The wider the network, the better it is, as the chances of the employee finding a cashless hospital nearby would be more.

3️ Ease of Claim Settlement: Another important thing to be checked is the ease of the claim settlement process which can be availed by the employee. This remains a significant aspect as it will affect the convenience and the peace of mind of your employees at the time of a claim settlement when they would also be tackling either their own or their loved one’s medical issues.

Conclusion

In today’s post-COVID-19 times, Group health insurance has become a significant benefit offered by corporations, especially budding businesses and startups. It affects not only individuals but also the way businesses function. If as a startup, you haven’t got your employees covered against medical emergencies, you can do it now and fuel the growth of your team and business.

Meet Plum.