Group Health and Accident Insurance: SMEs bet on health-related benefits to retain employees

Digital platforms have simplified issuance of the policies, premium collection and claims processing easier. Artificial intelligence enables staff to easily upload their hospital documents. After reviewing the documents, they can easily track an approval, and is returning their dollars owed much faster than without.

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In a talent-hungry market, small and medium enterprises (SMEs) are reaffirmed with a tough lesson that salary alone will not buy loyalty. As employees become increasingly aware of their health and financial well-being, benefits such as group health and accident insurance are emerging as critical development factors for retention. Programs that were previously viewed as a regulatory formality are quickly evolving into a differential advantage.

The New Changing Playbook

Until recently, providing employee insurance within most SMEs has always been a box-ticking exercise - compliance versus conviction. The pandemic and its aftermath altered how we view security regarding health. Increased medical and other related costs and greater feelings of stress have led employees to be far more discerning regarding which workplaces are going to protect their families' well-being.

For many SMEs that compete with the larger corporates for talent, the provision of structured health and accident cover may become an attribute. It is increasingly seen that many organizations are no longer viewing consequences, or potential profits in the business, as costs but as return on investments for productivity and value.

The Need to Keep Employees Attrition has maliciously taken the title of the second largest cost factor for small business, after wages. Every turn over results in lost knowledge, disbanded teams and increased recruitment costs. Health benefits help provide a sense of belonging that raises alone cannot provide. Offering a robust group insurance policy attributes value to a company beyond just a pay check. Even a simple medical and accident policy coverage can bolster morale and reduce turnover.