Paying Uncovered Costs

A young man holds his head in anguish as he thinks about his money problems with either debt or unemployment.

In the Industrial Revolution, employers only needed wages to motivate employees. The world and labor topology has changed drastically since. Employees need more than salary increases to stick to one workplace. One of the ways employers can improve retention rates is by covering uncovered costs. Uncovered costs are any costs associated with medical treatment not covered by an insurer. Uncovered costs may include the following.

  • Co-payments
  • Cost of adaptive devices
  • Prescriptions
  • Alternative medicine
  • Deductibles

1. Employees Want These Benefits the Most

A small raise in salary will likely make employees happy to stay. While an increase will bring a smile, adding benefits will keep that smile for longer and keep the employee safe, enabling you to retain the workforce with minimal disruptions. According to a survey by Glassdoor, 79% of employees would prefer additional benefits over an increased salary. But what benefits do employees want the most? Here are the top three according to a survey by the Society of Human Resource Management.

  • Health insurance
  • Paid leave
  • Retirement benefits

While most employers offer basic health insurance, many costs remain uncovered. For example, patients may dig deep into their pockets when undergoing dental procedures if they don’t have the proper coverage. A change in the health insurance policy for a stronger one can help with the costs of vision, dental, and other medical costs typically not covered.

2. Access to Coverage Influences Who Gets Treatment for Mental Health

Mental illnesses are latecomers to health coverage thanks to popular myths and misconceptions. However, coverage has significantly increased, especially in the last two decades. Yet, for many, mental health coverage remains an elusive luxury that many can’t afford. That’s saddening, considering that according to KFF, 1 in 20 Americans is living with a serious mental illness such as schizophrenia, major depression, or bipolar disorder.

One study by the Kaiser Family Foundation found that for the 8.5 million American adults who report moderate to severe symptoms of depression and anxiety, medical treatment was lowest among uninsured people. Increasing coverage for mental health treatment can increase treatment rates. These can be life-saving for those who experience certain forms of mental illness.

3. Dental Coverage Reduces Overall Health Costs

Most dental insurance only covers preventive and some minor procedures. For other providers, dental coverage is so minimal that patients have to look for out-of-pocket options to pay for uncovered costs. The majority of specialized care options, such as orthodontic work, will also have to come out of your paycheck because they are not covered as well. Therefore, the next benefit employers should add is increased dental coverage.

Even minimal dental coverage is helpful. Preventative dentistry can help hinder the growth process of cavities and gum diseases. The longer the treatment for these is put off, the more they will be able to fester and worsen within the person’s mouth. It is always better to get ahead of an issue rather than let it take control.

4. The Scope of Uninsured Costs

Uncovered costs vary depending on your provider and health needs. According to Bank Rate, the economic costs of an accident were $1,750,000 for a fatal car accident and $101,000 for a disabling injury. The costs include medical expenses, wage losses, vehicle damage, and employers’ uninsured costs.

For people without insurance, uncovered costs are much higher. Often, providers will pay for the cost and then get compensated through state and federal funds. According to the Kaiser Family Foundation, the total cost of uncompensated care for the nation was about $ 42.4 billion annually between 2015 and 2017.

A fat paycheck is not enough for most employees. They want their families to be safe and covered in case of an illness. They want their dental, mental, and vision costs covered. Employers with multiple perks and benefits will typically see higher retention rates.