There are plenty of employers out there that don’t have enough information about the employee insurance options available to them. With a lack of information comes a lack of understanding of how beneficial offering ancillary insurance can be for their employees and their business. Instead, they believe certain things about ancillary benefits and use those myths as excuses not to offer additional coverage. It’s the job of insurance agents to make sure all of their clients are able to make informed decisions about the insurance options to offer their employees.
Ancillary Insurance Review
For employers, ancillary products are products acquired or bought in addition to health insurance. Ancillary insurance products are the same as supplemental insurance products and are used to supplement existing benefits. Ancillary products just cover all the bases.
Ancillary benefits for employers could include the basics like dental, vision, and life insurance —or it could cover a lot more— disability and critical illness. There are even a few unusual insurance options that are gaining popularity like pet insurance and wellness programs.
Ancillary Insurance Myths
There are several reasons an employer may not decide to offer ancillary insurance to their employees, but more often than not, giving employees the opportunity for additional coverage has more advantages than disadvantages. We put together a list of five reasons an employer may not want to offer ancillary benefits and why these assumptions aren’t necessarily true.
Myth #1: My company is too small to offer ancillary benefits
No company is too small to give their employees great benefits. There are even options specifically for small businesses that make it easy to offer health coverage and save money in the process. One of these options is association plans, which allow multiple small businesses to join together to get the same benefits as large companies.
Myth #2: Ancillary benefits cost too much
There are plenty of policies out there that are affordable. Employers also have the option to offer voluntary benefits, which take stress away from the employees, while saving money for the employers. Consider what we just said about association plans, as well. Not to mention, the great thing about bundling insurance is the chance to save money. Many insurance providers give incentives to groups who add ancillary coverage to their medical plans. This may include a lower cost for premiums.
Myth #3: Ancillary benefits are too much of a hassle
Adding ancillary insurance to an existing healthcare plan doesn’t have to be complex. Many of these policies are actually quite flexible and can easily help employees. Plus, providers and insurance agents can be fantastic resources when trying to determine what’s best for a company. As experts in insurance options, they are dedicated to helping businesses do whatever is best for their employees.
Myth #4: Ancillary benefits don’t impact my business
This is a myth for multiple reasons, namely that ancillary insurance is beneficial for a company’s employee retention and health. Preventative measures, like routine checkups at the dentist and optometrist, help keep employees healthy on the job. Plus, the better the benefits, the happier employees will be and the longer they are likely to stay at a company. Happier employees often means more productive employees, which is great for a business’s bottom line.
Myth #5: My employees don’t care about ancillary benefits
As we just mentioned, ancillary insurance actually has a pretty big impact on employee retention, but it’s not just for current employees, either. More people looking for jobs these days are not just concerned with a good salary and health insurance. They recognize the deficiency in health coverage and seek out employers that offer benefits like dental, vision, and life insurance.
Too often employers believe these myths and do not offer ancillary benefits to their employees. As their broker, however, it is up to you to make sure they understand all of the great advantages to the additional coverage. You are their resource and expert. If you need some more tips for how to sell ancillary products to employers, download our helpful guide.
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