Health insurance has become more important today than ever, especially in light of the unprecedented medical expenses exacerbated by the COVID-19 pandemic.
In the next decade, it’s estimated that 15 percent of India’s population will be over 40, which is likely to drive up healthcare costs in the country.
Health insurance protects against unexpected medical expenses and has become crucial to employment. Companies are increasingly prioritizing health insurance to retain their employees.
Financial Protection
The primary purpose of health insurance is to provide financial protection to employees and their families. Without health insurance, hospital bills can lead to significant financial stress.
However, insurance coverage covers some of these costs, alleviating the financial burden on employees and allowing them to receive quality treatment.
This, in turn, aids in their physical and mental recovery, which benefits both the employees and the companies they work for. Financial protection is particularly important for employees with chronic illnesses or those who require expensive treatments, and companies are starting to recognize this need.
Priority for Healthcare
Health insurance enables employees to undergo regular medical check-ups, which can help detect diseases early and allow for prompt treatment. Early detection leads to better health outcomes and reduces overall medical expenses.
Family Coverage
Many companies now offer health insurance plans that cover the entire employee family. This is essential for families with children and elderly members, ensuring that healthcare services are accessible when needed.
Ultimately, this allows employees to work with peace of mind, free from financial stress. Happy employees are more likely to be productive and committed to their work.
Tax Savings
Health insurance plans employers provide can also result in employee income tax savings, which results in additional savings.
Employees may also benefit from Flexible Spending Accounts (FSAs) or Health Savings Accounts (HSAs), which offer further tax advantages.
A robust health insurance plan is advantageous for both employees and companies. Health insurance becomes vital to an employee’s overall compensation package as times change.
Companies strive to attract and retain talent by offering compelling health benefits, and employees favor organizations that provide strong health insurance packages.