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A new report by Gusto suggests it's in the best interest of most small businesses to offer their employees' health insurance. The benefits of offering health insurance are profound, from lower turnover to higher productivity. However, steadily rising premium costs are putting this seemingly no-brainer decision out of reach for many small business owners.
According to the report, a large minority of all small businesses (40%) offer health insurance to their employees. Among small businesses that offer other benefits, however, 57% offer health insurance as well. Health insurance also differs greatly by business size. Around two thirds of businesses with over 10 employees reported offering health insurance, while just 25% of employers with 1-5 employees do. It's important to note, however, that half of employers with 1-5 employees do offer benefits.
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