How to Choose the Right Health Plan for Your Team

By Sandra Consulting | Employee Benefits Advisor for Small Businesses

Offering health insurance is one of the most impactful decisions a business owner can make. It’s not just about fulfilling legal requirements or checking a box—it’s about investing in your people, strengthening retention, and building a workplace culture that truly supports your team’s well-being.

But if you’re like many small business owners, you may feel overwhelmed by the options, confused by insurance jargon, or unsure of what your business can actually afford. The good news? You don’t need to be an expert—you just need a smart strategy.

In this post, I’ll walk you through how to evaluate, choose, and implement the right health plan for your business—even if you have just a few employees.

📌 Why Offer Health Insurance in the First Place?

1. Retention and Recruitment

Today’s workforce expects more than just a paycheck. A comprehensive health benefits package is one of the top reasons employees stay—or leave—a job.
Even if you’re not legally required to offer coverage (under 50 FTEs), doing so can set you apart in a competitive hiring market.

2. Team Well-being

When employees have access to medical care, they take fewer sick days, manage stress better, and are more productive.
Health benefits are a critical component of workplace wellness.

3. Tax Benefits for You

In many cases, your business may qualify for tax credits or deductions related to the health benefits you offer—making it more affordable than you think.

🔍 Step 1: Understand the Types of Plans

Before choosing a provider or policy, it’s important to understand the basic types of health insurance plans available:

HMO (Health Maintenance Organization)

Lower premiums and out-of-pocket costs
Requires primary care doctor and referrals for specialists
Limited network of doctors and hospitals

Best for: Cost-conscious businesses with employees comfortable using a set network of providers.

PPO (Preferred Provider Organization)

More flexibility in choosing providers
No referrals needed for specialists
Higher premiums, but more options

Best for: Teams who want more provider freedom or who travel frequently.

HDHP (High Deductible Health Plan)

Lower monthly premiums
Higher deductibles
Often paired with an HSA (Health Savings Account)

Best for: Younger or healthier employees who rarely visit the doctor.

EPO (Exclusive Provider Organization)

A mix between HMO and PPO
No out-of-network coverage (except emergencies)
No referrals required

Best for: Employees who want lower premiums and fewer restrictions than an HMO.

🧠 Step 2: Know What Your Team Actually Needs

Don’t just assume—you need to listen to your employees or assess their likely needs. Ask yourself:

Do they have families or dependents to cover?
Would they prefer lower premiums or lower deductibles?
Are mental health or wellness benefits important to them?
Do any employees have ongoing medical conditions?

Tip: A quick anonymous survey can go a long way in gauging priorities.

💡 Step 3: Evaluate Your Budget

It’s natural to think health insurance is too expensive, but there are affordable ways to offer real value to your team—even if you’re a small business.

Cost-Saving Strategies:

✔️ Offer coverage for employees only (not dependents) initially
✔️ Contribute a percentage (rather than 100%) of premiums
✔️ Explore level-funded plans or health reimbursement arrangements (HRAs)
✔️ Consider QSEHRAs (Qualified Small Employer HRAs) for microbusinesses
✔️ Shop through private exchanges or professional associations for group rates

💬 Working with a benefits advisor like me ensures you’re seeing all the best options—not just what one carrier is offering.

📋 Step 4: Compare Carriers & Plans Side-by-Side

Once you’ve identified the type of plan and your budget, the next step is to compare carriers on:

Monthly premiums
Deductibles & copays
Network size
Out-of-pocket maximums
Value-added services (telehealth, wellness programs, EAPs)
Ease of administration

🛑 Don’t just go for the cheapest plan—look at total value, especially how well it aligns with your team’s needs.

🧭 Step 5: Get Help from a Licensed Benefits Advisor

Choosing the right health plan isn’t something you should do alone. An experienced advisor can:

✔ Guide you through all your options
✔ Make sure you’re compliant with state and federal regulations
✔ Help you communicate benefits clearly to your team
✔ Support enrollment and ongoing questions
✔ Negotiate better rates with providers

At Sandra Consulting, I help small business owners design competitive benefits packages without overwhelming costs. I make it simple, strategic, and personalized—so you can focus on running your business.

🎯 Final Thoughts

Offering health insurance isn’t just a business decision—it’s a leadership decision. It shows your team that you care about their well-being and see them as partners in your company’s success.

And the best part? You don’t need 50 employees or a huge budget to make it happen. You just need a plan—and the right guide.

📞 Ready to Explore Your Options?

Let’s find the right plan for your team—without the stress, confusion, or high cost. Whether you’re just starting out or want to improve what you already offer, I’m here to help.

👉 [Book Your Free Benefits Consultation]
Or fill out the contact form below and I’ll reach out personally.