For many small businesses, health insurance provides a safety net for employees looking to offset expensive treatment costs or experiencing unexpected medical difficulties. We’ve already discussed the many benefits that small business health insurance coverage offers to both employers and employees, alongside the ways that coverage can be expanded to include families and specialty programs.
This raises the question: what happens to small businesses that don’t offer health insurance coverage?
Going without coverage may result in a range of costs for business owners and employees, from lost profits and productivity to the negative physical and mental conditions that can stem from an uninsured workforce. In short, health insurance coverage not only gives your employees a measure of financial security in the event of a health emergency, but also helps protect against more indirect consequences that could be detrimental to your small business’ work culture and growth.
By providing health insurance to employees, your small business can avoid incurring three major hidden costs:
In the event of a workplace accident, out-of-office injury or an unexpected medical emergency in an employee’s family, lack of insurance may further complicate typically straightforward resolution processes and bring normal business to a halt. For example, if an employee is having difficulty managing chronic diseases or illnesses without the added financial security of insurance coverage, they may miss more work than they would otherwise.
According to a 2023 study published by Statista 
, 20% of respondents said they delayed or otherwise put off medical treatment due to high costs. Imagine what would happen if one fifth of your workforce was unable to complete their assigned tasks due to an unaddressed medical condition; how much effort would your company expend in trying to recover this lost time?
With comprehensive health insurance coverage, small business owners can rest easy knowing that their employees’ medical, dental or vision needs can be met at minimal cost to policyholders and with reduced downtime.
Not having insurance may also contribute to lost money and productivity, ranging from the minimal to the massive. While this is by no means an exhaustive list, a lack of small business health insurance may affect your bottom line in a few different ways:
Perhaps the most significant cost of an uninsured workforce is the toll that untreated and unaddressed physical, mental and emotional issues can take on employees. Without comprehensive insurance coverage, employees are left to address potentially life-threatening conditions without the help of in-network professionals or a financial safety net.
On top of the financial security provided by insurance in the event of a health issue or medical emergency, this coverage provides members with invaluable peace of mind. Coverage for dependents, access to mental health services and employee assistance programs (EAPs), and specialized health care solutions that range from telemedicine services to maternity and newborn care go a long way towards letting small business employees live their best lives without fear of unnecessary debt or untreated conditions.
Considering the unnecessary costs and risks of leaving your small business employees uninsured, it’s easy to see why health insurance has become a necessity for businesses of any size. Comprehensive health insurance may help you avoid losing valuable time and money while keeping your employees on staff and maintaining their well-being.
To learn more about our comprehensive small business insurance plans, visit our Coverage Options Overview page or get in touch with us by phone at 1-833-923-1784.
