Popular Searches:  AIG  china  sunamerica+aig  LIFE  financial  health

Small Businesses Face Uphill Battle With Health Insurance Costs

 

Tuesday, Jul 28,2009, 10:09:59 AM   Click:

PARK RIDGE, Ill.--(BUSINESS WIRE)-- Small businesses continue to grapple with the costs of providing healthcare to their employees, but the challenge is becoming disastrous for many businesses that are just trying to stay afloat, according to George S. May International.

A new survey of 912 small to medium-sized business owners across the United States by management consulting firm George S. May International found that 46 percent of respondents don't offer health insurance to their employees.

Of the 54 percent that do offer health insurance to their employees, the split between employer and employee paid premiums is as follows:

Paid by employer:

   

¢ 100%

  13% of respondents

¢ 90%

  10% of respondents

¢ 80%

  20% of respondents

¢ 70%

  18% of respondents

¢ 60%

  17% of respondents

¢ 50%

  22% of respondents
This survey speaks volumes to what we're seeing with troubled clients everyday, said Paul Rauseo, managing director of the George S. May International Company. A recipe for disaster is looming among small businesses that are already not profitable, as they struggle with this very difficult challenge to try and provide for their own employees.

The most glaring number is the fact that 22 percent of those small businesses that offer health insurance only pay 50 percent, which is a clear sign of being in survival mode, Rauseo said. These are the same employees that are being driven harder and harder each day to keep the very business alive that simply does not have the means to provide 100 percent employer-paid health insurance; many cannot afford any employer participation, much less holiday bonuses or other benefits.

About George S. May International Company

George S. May International Company is one of the most established management consulting firms in the United States. Since 1925, it has been helping business owners improve their operations, profits, efficiency and effectiveness. The company is headquartered outside of Chicago in Park Ridge, Ill. For more information, visit www.georgesmay.com.





Cushman/Amberg Communications

Luke Cushman or Christie Zielinski, 312-499-5235

lcushman@cushmanamberg.com



Source: George S. May International Company
PARK RIDGE, Ill.--(BUSINESS WIRE)-- Small businesses continue to grapple with the costs of providing healthcare to their employees, but the challenge is becoming disastrous for many businesses that are just trying to stay afloat, according to George S. May International.

A new survey of 912 small to medium-sized business owners across the United States by management consulting firm George S. May International found that 46 percent of respondents don't offer health insurance to their employees.

Of the 54 percent that do offer health insurance to their employees, the split between employer and employee paid premiums is as follows:

Paid by employer:

   

¢ 100%

  13% of respondents

¢ 90%

  10% of respondents

¢ 80%

  20% of respondents

¢ 70%

  18% of respondents

¢ 60%

  17% of respondents

¢ 50%

  22% of respondents
This survey speaks volumes to what we're seeing with troubled clients everyday, said Paul Rauseo, managing director of the George S. May International Company. A recipe for disaster is looming among small businesses that are already not profitable, as they struggle with this very difficult challenge to try and provide for their own employees.

The most glaring number is the fact that 22 percent of those small businesses that offer health insurance only pay 50 percent, which is a clear sign of being in survival mode, Rauseo said. These are the same employees that are being driven harder and harder each day to keep the very business alive that simply does not have the means to provide 100 percent employer-paid health insurance; many cannot afford any employer participation, much less holiday bonuses or other benefits.

About George S. May International Company

George S. May International Company is one of the most established management consulting firms in the United States. Since 1925, it has been helping business owners improve their operations, profits, efficiency and effectiveness. The company is headquartered outside of Chicago in Park Ridge, Ill. For more information, visit www.georgesmay.com.





Cushman/Amberg Communications

Luke Cushman or Christie Zielinski, 312-499-5235

lcushman@cushmanamberg.com



Source: George S. May International Company

  • Print

You may also be interested in:

Discuss this news

Click Here to see all comments
Please aware of self to obey the Internet related policy laws and strictly forbid to release porn, violence.
Appraisal:

Name:

Email:

Content:

Featured

My colleague, Emmett Higdon, wrote an article recently on how banks can increase customer adoption for paperless statements. He found that an average of five out of 10 online checking, savings, and

Insurers Go Green and Turn Off Paper Statements

My colleague, Emmett Higdon, wrote an article recently on how banks can

INDIANAPOLIS_The Indiana State Teachers Association and the National Education Association say they'll scrape up enough cash to pay 650 people receiving long-term disability benefits from the state

Ind. teachers union to cover disability claims

INDIANAPOLIS_The Indiana State Teachers Association and the National Education

Insurers in China, which always show interest in IPO shares, did not subscribe shares two batches of companies issued in IPOs on the Growth Enterprise Market (GEM) of the Shenzhen Stock Exchange.

Insurers Need Clear Attitude from CIRC

Insurers in China, which always show interest in IPO shares, did not subscribe

Hardy Underwriting Bermuda Limited has entered into an agreement with Arab Insurance Group (B.S.C), a reinsurance provider, to form a new 50:50 joint venture company called Hardy Arig Insurance

Hardy Underwriting Bermuda to form 50:50 joint venture

Hardy Underwriting Bermuda Limited has entered into an agreement with Arab

LONDON -- (MARKET WIRE) -- 04/23/09 -- MaybachFinancial.com is one of the fastest growing independent and unbiased research firms in Europe. Through our numerous partnerships with many of the top

MaybachFinancial.com Posts Free Analyst Report on ETN,

LONDON -- (MARKET WIRE) -- 04/23/09 -- MaybachFinancial.com is one of the

Massive change is upon the annuity industry. Now is your chance to lead the change and fight for your rights and most importantly YOUR CLIENTS! Change is what the American people voted for and those

Annuity Industry Fights Back, Last Chance to join the

Massive change is upon the annuity industry. Now is your chance to lead the

The dramatic rescue of an American marine Somali pirates by the U.S. Navy this weekend will probably marine insurance more expensive, especially since the murder of three hijackers could lead to an

U.S. action against Somali pirates May Increase the

The dramatic rescue of an American marine Somali pirates by the U.S. Navy this

MOST POPULAR