Group Heath Insurance Coverage
Group health insurance is a health care plan provided by employers for their employees. Unlike individual health insurance coverage, people covered by a group policy don't have to undergo a medical examination to qualify for health insurance benefits. This means that people who have been denied other types of coverage are protected.
So what kind of group health insurance is provided by employers? There are a variety of different coverages available but group policies generally fall into one of four main categories. These are: 1) life 2) accidental death and dismemberment 3) disability and 4) health or medical cover. It is also possible for an employer to provide other types of group health insurance such as group legal, travel accident and vision and dental care insurance.
Labor unions can also provide group health insurance for members. This insurance is issued to the union who becomes the policyholder. Unions can buy a policy for large groups of members who work for the company or for union members who work for different companies. This kind of health insurance works particularly well in industries where contract work is common - for example construction work.
Even though it is possible for employees to be granted group health insurance benefits under their union it is still quite uncommon in the United States. This is because at present most organized labor gets its health cover by negotiating with employers. This enables most union member to get health insurance coverage sponsorship from one or a group of employers.
Most employers deal with an insurer directly to obtain group health insurance cover for their staff members. Rates and underwriting vary from company to company and coverage is typically very different from one insurer to another.
Employers seeking to provide health benefits for their employees should do plenty of comparison shopping before obtaining a group health insurance policy. Usually this applies to larger companies who know the ins and outs of the health insurance industry. Smaller employers may need to enlist the help of an insurance expert before dealing with an insurance company.
