The labor market is extremely competitive today, forcing employees to search for new and innovative ways they can attract top talent from the outside and retain the top talent they already have. No longer is a competitive salary enough by itself to do so.

Employers today need to offer an attractive benefits package if they want to remain ahead of the competition. With so many different benefits offerings available, though, which ones are the “must-haves?”

Below, we’ll dive into what the most important health benefits are, according to employees.

Medical Insurance

Traditionally medical insurance still ranks as the most important health benefit to employees today. In fact, it’s even possible that medical insurance is even more important to employees now than it was even 30 years ago, due to the rising cost of health insurance and medical care.

Traditionally, employers would offer group health insurance coverage to their employers, where they would pay for at least a portion of monthly premiums. Unfortunately, that isn’t an option for some employers today.

A report from the Kaiser Family Foundation, for instance, found that the average annual premium for this type of health insurance in 2023 was $8,435 for single coverage and $23,968 for family coverage. This represented an increase of 7% over the prior year, at a time when inflation also increased 5.8% yet wages only increased 5.2%.

This inaffordability has forced some businesses to look for alternative ways to provide health insurance, such as health reimbursement arrangements, or HRAs. These plans give employers and employees flexibility when it comes to choosing health insurance and medical care, while reimbursing employees for some of their out-of-pocket costs.

Paid Time Off

Everyone needs time away from work, which is why an attractive paid time off (PTO) plan is essential for attracting new talent.

It doesn’t so much matter exactly how you offer this time off — whether it’s clumped together all in one, or separated by vacation time, personal time and sick time. What does matter is that it’s sufficient enough to allow employees to take time away from the job to take care of things in their personal life and to reset when needed.

Beyond just offering sufficient PTO, it’s also important that employers encourage their employees to use it — rather than discourage it, as many companies in the past used to do. Some employers are even instituting what is known as unlimited PTO, which allows employees to take the time they need when they need it, while reducing the administrative burden on the HR department related to tracking accrued and taken PTO.

Wellness and Mental Health

Wellness encompasses much more than just physical health. Taking a holistic approach to health is gaining steam in mainstream healthcare today, and that’s an important shift that employers need to recognize, too.

So much more attention is being paid to mental health today that it’s not surprising that it’s one of the most important health benefits to employees. As such, employers should integrate mental health and other wellness offerings into their benefits package.

This can include everything from access to mental health therapists, gyms, yoga studios and so much more. There are many wellness programs that can be offered as well that will encourage participation among employees, which, in turn, can lead to reduced absenteeism.

These offerings can be made part of the actual health benefits package, or you can choose plans that allow for an HRA, for example, which would allow employees to receive reimbursements for expenses related to this type of care.

Flexible Schedule

One long-lasting effect of the pandemic is that employees value a healthy work-life balance. Part of that is being able to take the time they need to attend to certain things in their life — such as taking their children to school and picking them up, attending doctor’s appointments and doing other things during the day rather than early in the morning or late at night.

Many employees today don’t just desire remote work arrangements but also flexible schedules. By providing different options for when and where work can be completed, employers can potentially stand out even more among competitors.

There are many forms that this could take, including a hybrid office-remote arrangement and workweeks that are four days long rather than five. By instituting flexible schedules, you can show your employees that you understand their desires and care about their life outside the workplace.

ICHRA Insurance Plans

ICHRA allows employees to select the health insurance they want and need to cover their own health concerns or those of their children and spouse. If an ICHRA plan leaves employees with significant out-of-pocket costs or fails to adequately cover their dependents’ healthcare needs, it can negatively impact a company’s ability to attract and retain talent.

With an ICHRA plan, employees have peace of mind that their healthcare plan is comprehensive, resulting in better health, happier employees, and less sick leave. Another incredible benefit of ICHRA is the tax advantages, which allow employees to retain more earnings, enhancing their overall life satisfaction.

Create an Attractive Health Benefits Package with Beckham Ellis Insurance Group

Health benefits are an essential part of attracting and retaining top talent for employers today. Without such an offering, it will be hard to compete for this talent with just an impressive salary alone.

By offering some of the health benefits listed above, your company can stand out and succeed in winning these employees.

When you work with Beckham Ellis Insurance Group, you can create a health benefits package that not only works for your company but is attractive to your specific employees.

If you’re located in the Georgia or South Carolina area, give us a call to learn more.