Increasing numbers of businesses are turning to corporate cash plan health insurance policies in order to save money, as the costs of traditional private medical insurance become too expensive for many in times of recession. Nearly one in four businesses has said that the main reason for not using traditional private health insurance policies is that the rising costs of healthcare is pushing up the cost of premiums. According to a survey by HSA, this means that more and more companies are looking at cheaper options, like cash plan private medical cover. 

“It is hardly surprising that companies are increasingly choosing budget health plans for their workforce, and health cash plans are a simple and affordable option,” HSA’s Abby Bowman told Health Insurance and Protection Magazine.

Despite their growing popularity, some confusion seems to be arising among employees surrounding the health benefits provided by their employers, and it’s all because they simply aren’t giving them enough information. The success of a corporate health insurance policy depends on the level of communication between the private medical insurance provider and the employer, in order for the employer to pass on the information to their workforce. 

Freedom Healthnet provides easy to read information about all its policies, helping the third of employees who are currently unsatisfied with the amount of advice they are given about their health to feel happier and more at ease. Corporate cash plan health insurance is also an important way for companies, “to cover their duty of care and health and safety obligations,” said sales and marketing director Russ Piper, when also speaking to Health Insurance and Protection Magazine.