With the Great Resignation, many employers are seeing high employee turnover rates and high costs every time they lose an employee. Insurance companies can help employers maintain employee retention. By providing a wellness benefit as a part of their foundational medical packages, insurance companies can have a positive impact on helping to reduce employee turnover.
High turnover and retention problems have a huge impact on companies. Between employees working more, recruiters searching for a new candidate, and eventually training a new team member, an open position can cost a company about $400 a day.
To save money and retain top employees, employers are searching for ways to provide holistic wellness programs. By providing wellness benefits as a part of their medical packages, insurance companies can reap the positive impact this would have for their employers in addition to improving relationships and increasing retention with their clients.
How Can Wellness Benefits Help?
Wellness Benefits have a strong impact on a company's engagement and employee morale. However, wellness benefits also have a significant impact on employee retention. If small and medium-sized companies offered a wellness program, 45% of employees would stay in their job longer. Nearly half of team members participate in such programs when they are offered.
This trend of retention is not a new one. Benefits historically have been a big help for businesses in tailoring employment packages to top talent. When employees are happy with their health insurance coverage, they are much more likely to stay in their current job.
Many companies are doing well with their offerings. In fact, a survey recently found that 71% of employees are happy with current coverage.
Including Wellness in Benefits Packages
Some small businesses and medium-sized businesses must depend on their insurance company for flexibility when it comes to employee benefits. Insurance companies can optimize their health benefits by understanding what will put employers, and therefore the insurance companies, on the path to success.
Some stops on the path to success are prioritizing work/life balance and personal well-being to improve employee retention. Improving both of these aspects can only happen if wellness benefits are permanent and accessible from the insurance company. With flexible and holistic employee benefits, insurance companies can help promote employee engagement, especially for the small to midsize businesses that may not have administrative support.
Employers are looking to insurance companies to help provide mental health, fitness, and financial wellness benefits. By having an all-encompassing benefits package, employers won’t lose resources to create wellness programs. They will see an increase in productivity, employee retention, and will have a mutually beneficial relationship with their insurance carrier.
What's Next for Insurance Companies?
As insurance companies attempt to improve employer retention rates, they can remember a few factors that make wellness programs stand out.
1. High Quality
Insurance carriers can partner with wellness companies to offer high-quality benefits that positively impact an employee’s life. Peerfit is dedicated to creating strong relationships with insurance carriers and employers. Wellness companies like Peerfit also provide quality fitness and wellness programs to encourage employee health.
Employers are noticing a high demand for holistic wellness programs. Employers are surveying their employees to understand which needs are most important, and which will increase employee retention and satisfaction. Insurance companies that offer holistic benefits like mental health and fitness resources will stand out to employers.
Wellness benefits have the ability to make an employee feel seen, heard, and protected in the workplace. Employees want to take care of their personal life just as much as their professional life. Employers want to show that they want to protect every aspect of their employee’s health, and are drawn to insurance carriers that can support that goal.