As an employer, you’re likely aware of the importance of offering group health insurance. As one of the core components of a suitable employee benefits portfolio, the right plan can be an invaluable investment. By helping employees access essential care and products needed to maintain their health and wellness, you may increase productivity, workplace morale and attraction and retention rates. However, coverage can come in many forms, requiring a thorough understanding of available options.
Common Types of Group Health Insurance 
Choosing a group health plan that suits your business’s circumstances and employee needs is essential. Specifically, the following types of policies should be understood and considered as you vet your options:
- Health maintenance organization (HMO)—These policies require enrollees to select a primary care provider (PCP) who manages general health care. HMOs may offer relatively low premiums, but specialist care typically requires a referral from the PCP and coverage is usually limited to a specific network.
- Preferred provider organization (PPO)—A PPO typically offers greater flexibility than an HMO, albeit with higher costs. Under these plans, your employees can seek specialist care without a referral and may have more opportunities to visit out-of-network providers.
- Point of service (POS) plans—Like an HMO, this type of group health arrangement also has policyholders select a PCP. However, these plans generally allow more opportunities to seek care outside their networks, making them somewhat of a hybrid between HMOs and PPOs.
- High-deductible health plans (HDHPs)—These plans can offer savings on premiums in exchange for higher deductibles. Employees often pair enrollment in an HDHP with a health savings account, as the latter can accrue funds tax-free and cultivate an advantageous way to pay out-of-pocket expenses and meet deductibles.
We’re Here to Help
Contact Vanmar Insurance in Yakima, Washington, today to learn more about group health plan options and ensure your employees have ideal coverage.
This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.