{"id":159,"date":"2019-05-22T16:54:32","date_gmt":"2019-05-22T11:24:32","guid":{"rendered":"https:\/\/www.plancover.com\/insurance\/?p=159"},"modified":"2021-07-08T09:17:43","modified_gmt":"2021-07-08T03:47:43","slug":"insurance-that-small-business-owners-must-buy-for-their-employees","status":"publish","type":"post","link":"https:\/\/www.plancover.com\/insurance\/insurance-that-small-business-owners-must-buy-for-their-employees\/","title":{"rendered":"Insurance that small business owners must buy for their employees"},"content":{"rendered":"<p class=\"graf graf--p\"><span style=\"font-size: 14pt;\">Most businesses start small but grow in size and scale with time. As businesses grow, the number of employees increases. Business is a truly human endeavour. And not protecting its most important stakeholder\u200a\u2014\u200aemployees\u200a\u2014\u200acan have damaging effects on a company. Companies must ensure benefits for their employees. A huge part of employee benefits is insurance. Yes, a Group Mediclaim Insurance is essential, but did you know there are several other types of insurance that can benefit and help employees?<\/span><\/p>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 14pt;\">In this blog, we will look at some of the most important insurance that employers must consider and purchase for their employees. Read on!<\/span><\/p>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 18pt;\"><strong class=\"markup--strong markup--p-strong\">GROUP HEALTH INSURANCE<\/strong><\/span><\/p>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 14pt;\">Group health insurance is purchased by a company for a group of employees. The insurer provides a one master policy to the company covering all the employees and their dependents. Employees can have the benefits of group health insurance until they are a part of the company. Group health insurance policies also have the option of including the family members of the employees. Group mediclaim insurance is beneficial to employees as it provides quality medical care options, comprehensive coverage for employees and their dependents including coverage for pre-existing diseases, maternity and waivers for waiting periods. Group Mediclaim policies have lower premium rates compared to individual health insurance and has the possibility of having a significantly positive effect on the well being of the employees.<\/span><\/p>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 18pt;\"><strong class=\"markup--strong markup--p-strong\">Coverages it offers<\/strong><\/span><\/p>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 14pt;\">Group Health Insurance allows customization of coverages, unlike personal health insurance policies.<\/span><\/p>\r\n<ul class=\"postList\">\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Hospitalization costs in case of accidents, injury and sickness<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Medical treatments for a broad range of diseases<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Coverage for pre-existing diseases<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Coverage for maternity<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Coverage for newborn baby from day 1 of birth<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Coverage based on different types of delivery\u200a\u2014\u200aC-section and normal<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Addition of corporate buffer in cases when an employee exhausts the sum insured, the management\/employer could add an additional amount<\/span><\/li>\r\n<\/ul>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 18pt;\"><strong class=\"markup--strong markup--p-strong\">When is it helpful?<\/strong><\/span><\/p>\r\n<ul class=\"postList\">\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">If an employee gets injured during work or outside of work<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">If the policy covers the employees family members and those members who are insured get hospitalized<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">If an employee requires hospitalization or treatment for diseases<\/span><\/li>\r\n<\/ul>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 18pt;\"><strong class=\"markup--strong markup--p-strong\">GROUP TRAVEL INSURANCE<\/strong><\/span><\/p>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 14pt;\">Companies often have employees travelling for conferences, meetings, and on-site work in different cities. Companies buy group travel insurance to provide coverage and protection to the travelling employees for different risks and uncertainties encountered by them during their travel. Group Travel Insurance provides for payment of emergency medical expenses for illnesses and accidents sustained during overseas business trips. It provides the following coverages:<\/span><\/p>\r\n<ul class=\"postList\">\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Accident and sickness medical expenses\u200a\u2014\u200ahospitalisation and OPD expenses, benefit payable for accidental death and disability<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Travel inconvenience benefits\u200a\u2014\u200atrip delay, cancellation, curtailment, loss of documents, etc.<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Personal liability covering for any legal liability from third parties for bodily injury or property damage while overseas.<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Emergency evacuation and repatriation back to India in case of overseas trips.<\/span><\/li>\r\n<\/ul>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 14pt;\">Here are some <strong class=\"markup--strong markup--p-strong\">key features<\/strong> of group travel insurance:<\/span><\/p>\r\n<ul class=\"postList\">\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Different insurance for domestic and international travel<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">The insurance can be for a single trip or for multiple trips within a year<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">The insurance provides coverage for accidents, injuries, baggage related issues, death, trip cancellations and many other such travel-related occurrences.<\/span><\/li>\r\n<\/ul>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 18pt;\"><strong class=\"markup--strong markup--p-strong\">When is it helpful?<\/strong><\/span><\/p>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 14pt;\">When a company has a group of its employees travelling together, the Group Travel Insurance is helpful as it covers a wide range of risks and situations.<\/span><\/p>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 18pt;\"><strong class=\"markup--strong markup--p-strong\">GROUP ACCIDENT INSURANCE<\/strong><\/span><\/p>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 14pt;\">Just like Group Health, Group Accident Insurance is purchased by employers for a group of their employees. The insurance protects employees and their families by compensating a fixed amount towards the death or disability caused to an employee due to an accident.<\/span><\/p>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 14pt;\"><strong class=\"markup--strong markup--p-strong\">The coverage it offers<\/strong><\/span><\/p>\r\n<ul class=\"postList\">\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Coverage for medical expenses<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Accidental death caused by injuries from an accident<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Compensation for loss of income due to temporary disablement<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Fixed amount compensation in cases of short term and long term disablement<\/span><\/li>\r\n<\/ul>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 14pt;\"><strong class=\"markup--strong markup--p-strong\">When is it helpful?<\/strong><\/span><\/p>\r\n<ul class=\"postList\">\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">It is helpful to employees when they meet with an accident that causes injury to them.<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">It helps employers minimize their expenses and losses, which are covered by the policy.<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">The policy can be tailored to specific needs and hence it is more beneficial to both, the employer and the employee.<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">The compensation from the insurance is helpful to the family members of a deceased employee.<\/span><\/li>\r\n<\/ul>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 18pt;\"><strong class=\"markup--strong markup--p-strong\">Directors &amp; Officers INSURANCE<\/strong><\/span><\/p>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 14pt;\">Directors, officers, owners and founders\u200a\u2014\u200athe most important decision-makers in an organization. They have more legal liabilities and responsibilities than the company has. They could be legally sued for mistakes, negligence or wrong decisions that harmed any third party. Companies buy the D&amp;O Insurance to safeguard their decision-making employees. Having this insurance is also considered a good corporate governance practice and can enhance the reputation and business prospects of an enterprise.<\/span><\/p>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 14pt;\"><strong class=\"markup--strong markup--p-strong\">The coverage it offers<\/strong><\/span><\/p>\r\n<ul class=\"postList\">\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">It covers the costs of legal representation and the costs of defence in the court<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">It provides coverage for damages and settlement costs<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Costs and expenses for public relations and reputation management<\/span><\/li>\r\n<\/ul>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 18pt;\"><strong class=\"markup--strong markup--p-strong\">When is it helpful?<\/strong><\/span><\/p>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 14pt;\">The D&amp;O Insurance policy is most helpful in situations of a regulatory investigation, if there are accounting discrepancies, at times when there is a securities claim related to the shareholders of the company, when there are risks related to mergers and acquisitions, etc. Directors could also be held liable for employment practices related liabilities such as allegations of harassment, wrongful termination, failure to promote an employee and more, from internal employees.<\/span><\/p>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 18pt;\"><strong class=\"markup--strong markup--p-strong\">WORKERS COMPENSATION INSURANCE<\/strong><\/span><\/p>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 14pt;\">The Workers Compensation Insurance is a way in which employers and companies can ensure that they meet the obligations that are set under the Workmen\u2019s Compensation Act. Although Workmen\u2019s Compensation insurance is not mandatory in India, employers are legally liable to compensate for their employees for injuries suffered during the course of their employment as per common law and Fatal Accidents Act. This insurance reinforces employers\u2019 responsibilities towards their employees. It is the employers\/companies that pay the premium for this insurance, not the employees.<\/span><\/p>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 14pt;\"><strong class=\"markup--strong markup--p-strong\">The coverage it offers<\/strong><\/span><\/p>\r\n<ul class=\"postList\">\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">It provides coverage for bodily injuries due to accidents<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Compensation for temporary or permanent disablement<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Compensation for the death of an employee<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Legal costs and expenses in certain cases<\/span><\/li>\r\n<\/ul>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 18pt;\"><strong class=\"markup--strong markup--p-strong\">When is it helpful?<\/strong><\/span><\/p>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 14pt;\">Even though a company might have Group Accident Insurance or Group Health Insurance for their employees, employees could face other risks. Some businesses and industries are more risk-prone as compared to others. Businesses that are more vulnerable to accidents, mishaps and injuries to their employees must purchase this insurance.<\/span><\/p>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 18pt;\"><strong class=\"markup--strong markup--p-strong\">INSURANCE AS EMPLOYEE BENEFIT<\/strong><\/span><\/p>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 14pt;\">A lot of business owners and companies assume that purchasing a group health insurance or a basic business insurance will have all their employee-related liabilities and responsibilities covered, but that\u2019s not the case. Every kind of insurance has its limitations in terms of coverage and inclusions and the range and possibilities of risks are wide. Hence, it is important for even small companies to assess the risks and needs of their employees and include these insurance plans in the employee benefits programme.<\/span><\/p>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 18pt;\"><strong class=\"markup--strong markup--p-strong\">IMPORTANT POINTS WHEN PLANNING INSURANCE FOR EMPLOYEES<\/strong><\/span><\/p>\r\n<ul class=\"postList\">\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Detailed analysis of risks and uncertainties that employees can face.<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Business specific and industry-specific risks assessment for employees.<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">The amount of total coverage that a policy would be providing at the time of claim.<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Compare quotations and policies offered by two or three different insurers before choosing one.<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Consult a broker or insurance company that specializes in the kinds of insurance that you might want to purchase.<\/span><\/li>\r\n<li class=\"graf graf--li\"><span style=\"font-size: 14pt;\">Some insurance companies specialize in serving large corporations and companies and some cater to small and mid-sized companies. Find the right insurance company to plan and manage your employee insurance.<\/span><\/li>\r\n<\/ul>\r\n<p class=\"graf graf--p\"><span style=\"font-size: 14pt;\">So have you planned the insurance benefits for your employees? If you\u2019d like to know about other insurance plans for your business or plan a comprehensive portfolio for your business, get in touch with <a class=\"markup--anchor markup--p-anchor\" href=\"https:\/\/www.plancover.com\" target=\"_blank\" rel=\"noopener noreferrer\" data-href=\"https:\/\/www.plancover.com\">PlanCover,<\/a> specialists in business insurance for small and mid-sized enterprises.<\/span><\/p>\r\n\r\n<p>&nbsp;<\/p>\r\n","protected":false},"excerpt":{"rendered":"<p>Most businesses start small but grow in size and scale with time. As businesses grow, the number of employees increases. Business is a truly human endeavour. And not protecting its&#8230;<\/p>\n","protected":false},"author":2,"featured_media":164,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"cybocfi_hide_featured_image":"","footnotes":""},"categories":[10,9,12,8],"tags":[30],"_links":{"self":[{"href":"https:\/\/www.plancover.com\/insurance\/wp-json\/wp\/v2\/posts\/159"}],"collection":[{"href":"https:\/\/www.plancover.com\/insurance\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.plancover.com\/insurance\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.plancover.com\/insurance\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.plancover.com\/insurance\/wp-json\/wp\/v2\/comments?post=159"}],"version-history":[{"count":10,"href":"https:\/\/www.plancover.com\/insurance\/wp-json\/wp\/v2\/posts\/159\/revisions"}],"predecessor-version":[{"id":539,"href":"https:\/\/www.plancover.com\/insurance\/wp-json\/wp\/v2\/posts\/159\/revisions\/539"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.plancover.com\/insurance\/wp-json\/wp\/v2\/media\/164"}],"wp:attachment":[{"href":"https:\/\/www.plancover.com\/insurance\/wp-json\/wp\/v2\/media?parent=159"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.plancover.com\/insurance\/wp-json\/wp\/v2\/categories?post=159"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.plancover.com\/insurance\/wp-json\/wp\/v2\/tags?post=159"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}