All About Group Insurance Scheme For Your Startup

When you start a company, you want the best minds and hands working diligently to drive the business in its nascent stage. While a fat paycheck helps in attracting talent to your startup, a group mediclaim policy can help seal the deal.

A group mediclaim policy is the type of employee benefit scheme that will provide your employees financial benefits beyond their compensation. Let’s understand what the policy is all about.

Group mediclaim – The Concept ?

An employee medical policy is a health insurance policy that covers named members of a group. As an employer, you can invest in a group health plan for your employees and also extend coverage for their family members ?. A Master Policy can cover all the insured members.

Coverage Available Under Employee Health Insurance Plans ??

Under the corporate health plans, there is a range of coverage benefits that provide comprehensive protection to your employees in a medical emergency.?

The Common Coverage Benefits

  • Inpatient hospitalisation for 24 hours or more.?
  • Pre-and-post-hospitalisation expenses.
  • Ambulance charges.
  • Daycare treatments.
  • Domiciliary hospitalisation.
  • Organ donor treatments.?
  • Maternity coverage.?

Moreover, you can also enhance the scope of the policy through optional riders that are available at an added premium. Some of the available riders include-

  • Critical illness rider that pays a lump sum benefit if your employee suffers from any of the named illnesses.
  • Personal accident rider that pays a lump sum benefit in the case of accidental death or disablement.
  • OPD cover that covers your employees’ small medical expenses incurred on an outpatient basis.
  • Daily cash allowance that pays a daily benefit on hospitalisation, etc.

Salient features of Group Mediclaim Plans?

Here are some of the unique features of corporate health insurance plans –

  • The policy is issued for one year after which you can renew it.
  • The premium?of the policy can be paid by you, the employer, your employees or jointly by you and your employees.
  • Coverage for pre-existing illnesses and conditions is granted from the first day itself without any waiting period.
  • Your employees can avail of cashless settlement of their claims if they get treated at a network hospital.
  • New employees can also be added to the coverage from the first day by paying a pro-rated premium.
  • The group policy is customisable, as far as the coverage is concerned.
  • The coverage can be extended to cover your employees’ spouse, kids and even dependent parents.
  • A minimum number of employees are needed to avail of the policy.

Benefits of Group Health Insurance Scheme

A group health plan is recommended for your startup because of the various benefits that it provides. Here is a look at some of them –

  • Financial security to your employees ?

Medical expenses ?are steadily rising and a trip to the hospital can cost a lot of money. Such expensive medical treatments and hospitalisations might blow a hole in your employees’ pockets, causing a financial strain. ? A group insurance policy helps your employees avoid this financial strain by covering their medical costs. The policy pays for the expensive medical bills and gives your employees financial security.

  • Boosts employee morale and productivity ?♂️

When your employees are financially secured, they have the assurance that in a medical emergency they would not face any financial hassle. This, thus, helps in boosting employee morale as they feel grateful to their employers. Moreover, as your employees’ financial wellbeing is taken care of, they can concentrate on their work which will ultimately boost productivity.

  • Cashless treatments give peace of mind ☮️

Group health plans allow cashless treatments, wherein the medical bills are directly handled by the insurance company. This gives peace of mind to your employees as they are freed from the task of arranging funds in the event of hospitalisation. They can relax and watch their group cover take care of their medical bills.

  • Affordable coverage ?

Group health insurance plans are extremely affordable compared to individual insurance plans for each employee. Your employees can, thus, avail themselves of comprehensive coverage at lower premiums. Moreover, if you pay the premium for the policy, they get the benefit of free protection!

  • Tax benefits ?

Group medical plans are also tax-saving. If you pay the premium for your employees, you can deduct the premium as a tax-deductible expense from your profits. This brings down the taxable profit of the business and helps you save tax. On the other hand, if your employees pay the premium for their coverage, they can claim a tax deduction thereon under Section 80D of the Income Tax Act, 1961. The deduction is allowed up to Rs.25,000 of Rs.50,000 if any employee is a senior citizen.

Group mediclaim plans, thus, are a useful cover for your employees. As a start-up, you can invest in the policy to motivate your employees and give them financial security. To find a list of comprehensive and customisable group health plans, you can visit Plum Insurance and find the most suitable cover.

Insure your startup’s most important asset- your employees. Once their financial worries are handled by the group health plan, they can put their best foot forward and take your startup to new heights.✌️


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