You are the CEO of big corporation’s subsidiaries, founder of your company or a manager in a SME in Singapore ? This article is for you! Healthcare, retirement… in Singapore there are no laws to oblige companies to offer employee benefit program to their employees. This leads to huge gap in the protection of employees. We answer all the questions you may ask yourself when it comes to covering your employees.
Reason n°1 : Limit the inequalities between your employees
If you don’t offer any healthcare to your employees, you will increase inequalities between your employees from Singapore and abroad.
In Singapore, every company has to pay a social tax called CPF ( Central Provident Fund ). This tax is only for every Singaporean or permanent resident they hire.
This amount is directly transferred to the local employee on an Medisave account. This account pays for health care, in case of hospitalisation for example. This budget has no equivalent for any non-Singaporean employee. We advise you to give, at least, a medical coverage for all your employees, in order to compensate the budget you’re allocating with the CPF.
Reason n°2 : Giving cash to every employee is not a safe solution : You’re losing money and risking them to pick a poor health insurance !
Managing a group health insurance for your employees allows you to organise different plans for every group of employees. You can configure your plans according to their position, professional or personal situation ,nationality…
However, taking a group health insurance plan for all your employees allows you to access to some group discounts. This gives you a more competitive pricing compared if every of your employees take its own medical insurance. It is a good option for your company’s employees and is also a way to save money.
Reason 3 : Even with pre-existing conditions, your employee can be covered !
With an individual insurance, if you have preexisting conditions when you subscribe to a new contract, medical underwriting excludes completely or partly theses conditions.
Another benefit of getting a group healthcare plan for your employees is risk mutualisation within the company. In a group plan, your insurance policy covers these conditions. However, compared to a normal plan, the maximum amount covered for this condition is reduced.
This post was previously published on UEX Health insurance blog