A way to expand your benefit offerings at little to no cost to the employer while also adding great convenience to the employees is by offering an assortment of voluntary insurances and by integrating a Pharmacy Benefits Managers (PBM). Voluntary benefits allow employees to feel protected through different insurances that are 100 percent employee-paid but offered through their employer. Meanwhile, PBMs help employees achieve better health outcomes by broadening access to the appropriate medications. These combined benefits can foster employee satisfaction and positively contribute to their work-life balance.
Medical Voluntary Benefits
Voluntary benefits allow employers to offer attractive packages without the attributed costs to the company. The packages allow for employees to receive insurances in one place. Additionally, they are also often at lower premiums than the individual policies they would buy themselves. Moreover, these options are even further enhanced through simple payments via payroll deductions and discounts on eligible products. Due to this and their cost efficiency, voluntary benefits are becoming integral for companies to be competitive in the evolving job marketplace. The following are voluntary insurance options that could make an attractive health benefits package:
Hospital Indemnity Insurance
Hospitalization is often unexpected along with the associated bills. Hospital indemnity insurance gives an employee money while in the hospital. It supplements an employee’s existing health insurance coverage and helps them pay for added expenses while recovering. Employees will benefit from the additional financial support when they need it the most.
Accident Insurance
Accident insurance is an extra layer of coverage that pays for medical and out-of-pocket costs that you may incur due to an accidental injury. These costs can include emergency treatment, medical exams, hospital stay, transportation, and even lodging needs.
Disability Insurance
Some employers don’t pay for disability coverage but offer it as a voluntary benefit. Disability insurance pays a part of an employee’s income if they can’t work for an extended period because of an illness or injury. It can supplement corporate-sponsored STD and LTD.
Long-term Care Insurance
A long-term care insurance policy helps cover a host of services not included in regular health insurance related to a chronic medical condition, a disability, or a disorder such as Alzheimer’s disease. These policies will reimburse employees for the care given in their own home, nursing home, an assisted living facility, or an adult day care center.
Additional Voluntary Benefits
Besides voluntary insurances that enhance an employee’s health insurance, employers can further enhance their benefits package. This can include life, pet, car, and homeowner’s insurance. These options can attract top talent and assist in employee retention without added costs to the employer.
Life Insurance
Life insurance is integral for individuals with families who want to continue to provide for them in some capacity after death. It can assist the employee’s family with final expenses while also providing them with a safety net to replace that individual’s income or pay off debts.
Pet Insurance
More employers are now offering pet insurance in their benefits packages as voluntary insurance. Taking care of an employee’s furry child is a unique but modern way to attract more talent. It offers pet owners an added protection by reimbursing employees’ finances related to unexpected vet bills which is an important facet in many individuals’ lives.
Car or Homeowner’s Insurance
These types of insurances are ideal to offer in different circumstances. Employers can offer both insurances, but remote workers would benefit more from homeowner’s insurance since their home is now also their workplace. Learn more about best practices regarding remote work in our Work-from-Home series. On the other hand, employees that commute may benefit from car insurance more. These insurances offer discounts to employees through promoting one program that can assist them.
Lower Prescription Costs with a Pharmacy Benefits Manager (PBM)
PBMs are companies that manage prescription drug benefits on behalf of health insurers, Medicare Part D drug plans, large employers, and other payers. By negotiating with drug manufacturers and pharmacies to control drug spending, PBMs have a significant behind-the-scenes impact in determining total drug costs for insurers, shaping patients’ access to medications, and determining how much pharmacies are paid. This can be integral for employees for a multitude of reasons including prescription costs and minimizing prescription errors.
When an employer carves out their PBM from their health insurance they have more visibility into their data. This empowers executives to request guarantees that support their budget and goals. More importantly, having a direct relationship with a PBM gives employees a more personalized experience. A dedicated pharmacy team answers questions regarding an employee’s prescription drug benefits. For example, PBMs alleviate rising prescription costs while also ensuring that drugs are administered effectively and achieve the best result for the health and wellness of the patient.
Discover More in Our Alternative Benefits Series and White Paper
Our newest white paper and blog series focuses on alternative benefits that human resource managers are considering. The previous blog post in this series, titled “Should Employers Consider Repaying Student Loan Debt“, covers how SLRPs improve recruitment, retention, and overall employee productivity. Tune in to our blog series to discover what benefits packages best fit your company.