Employee Health Benefits
What Does Employee Health Benefits Mean?
Employee health benefits refer to the non-cash compensation that an employer provides to an employee in addition to their regular salary, aimed at protecting the employee’s health and welfare. These benefits also serve as a means to retain employees and reduce turnover within the company.
Insuranceopedia Explains Employee Health Benefits
Employee health benefits can take various forms, including health insurance, employee assistance programs, health screenings, employee healthcare centers, and health seminars. Before the Affordable Care Act, employee health insurance was not mandatory for most companies, except the State of Hawaii.
Health insurance options include traditional indemnity plans, managed care through Health Maintenance Organizations (HMOs) or Preferred Provider Organizations (PPOs), self-insurance, and Archer Medical Savings Accounts for companies with 50 employees or fewer.
Additionally, the Family and Medical Leave Act (FMLA) requires employers to provide employees with up to 12 weeks of leave to seek medical care for a serious health condition. The Act guarantees that after 12 weeks of unpaid leave, the employee will be reinstated to their former position or an equivalent role.
