The Benefits of Implementing a Small Business Health Care Plan

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Did you know that 98% of companies in Canada are small businesses? Although health care costs are paid via income tax funding throughout most of Canada, small business owners have the option of providing their employees with better health benefits. There are several advantages of implementing small business health care plans, as they are designed to help both employees and employers.

1. Employers. These types of health care plans are designed specifically for small businesses, which means most small business owners can afford them. Small business health insurance plans provide health coverage on a “pay-as-you-go” basis, and the cost of medical expenses is 100% tax deductible by the CRA, or Canada Revenue Agency. This means that a health spending account CRA allows you to provide your employees with the tax-free health benefits you choose, which essentially gives you control over how much money your business spends on this coverage.

2. Employees. Small business health plans are designed to provide employees with more extensive coverage. Although the universal health care system in Canada already covers some expenses, such as preventative care and yearly checkups, a health spending account CRA will cover additional expenses, including family health care needs, wellness products, sports medicine health care, dental care, and prescription drugs. Since Canadians are required to pay for deductibles and co-pays under the universal health care system, small business health plans help make health care more affordable for Canadians.

There are several advantages of implementing a small business health insurance plan. Not only are these plans affordable for employers, but they also provide employees with more extensive health coverage, as well. As a result, nearly anyone can benefit from a small business health care plan.

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