Even though you may not be a human resources or benefits expert, as a small business owner it is important to learn as much as possible about group disability insurance. This is a benefit that has a lot to offer employees, as well as the well being of the company as a whole.
From our California readers to those in other parts of the United States, the need for disability insurance remains the same.
Without the right group disability insurance place, both parties, including the employer and the employee, can be faced with financial trouble. From a business owner point of view, if an employee is unable to work you are going to lose out on productivity along with the possibility of decreased revenue. On the other side of things, employees could also find themselves short on cash if they are unable to collect disability insurance.
The statistics back up the claim that it is beneficial for small business owners to purchase group disability insurance. For instance, only nine percent of long-term disability stem from serious accidents. In other words, an injury does not have to be serious in order for somebody to be unable to work. Along with this, the Social Security Administration estimates that roughly 25 percent of 20-year-olds will be disabled at some point before age 67.
As a small business owner, there are more benefits of buying group disability insurance than there are potential drawbacks. The statistics back up why this is such an important purchase in today’s era. Talking with an employment law team can help you to better understand why this is a sensible move on the part of a business owner.
Source: Small Business Trends, “The Case for Employee Disability Insurance as a Business Owner” Michael Zuna, Dec. 20, 2013