Believe it or not, it can sometimes cost less to insure three employees on medical insurance than it does to insure just one.
This is because new company paid schemes for larger numbers to be insured attract premium discounts. The most noticeable difference arises when you go from one to three insured employees.
A 59-year-old business owner wants private medical insurance to cover himself and his wife (couple cover) for; inpatient and outpatient treatment, physical therapies (including, physiotherapy, etc) and mental health cover – total cost is £340.33 per month
However, if he adds his foreman (who is aged 40) and sales manager (aged 32) on the same cover, the total cost for all three is £250.25 per month of which the cost for the business owner’s couple cover has dropped to just £181.06 per month.
If the others want to include their spouses and children as well, it need not impact the cost to the business. The business owner can re-charge the cost of including them through payroll and get the same rates. This means that employees can still benefit because the scheme cost is much lower than it would be if they bought the same level of cover as a personal policyholder, and the business owner is also paying for employees’ cover.
If you are a business owner (or work for someone) and you’re thinking of buying medical insurance, think about opening it up to a few more employees – this proves it’s good to be generous!
Call the Aston Lark Employee Benefits team on 020 7543 2818 or email [email protected] to find out how you could benefit from a free review.
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