Company health insurance: the essential points to know

Today, every company must know that the well-being of its employees influences its development. The quality of work and the benefits that come with it are only realized if they are productive. It is therefore essential to provide them with benefits such as health insurance.

How to define it ? Why subscribe to it ? Under what conditions should a cancellation of the company mutual insurance be requested? ? Hereafter, the’www site team.adpassurances.en/ answers these questions.

What is a company mutual insurance ?

The company mutual insurance is not a new concept. It has existed for a long time in the labor market. As it can be seen as a group health insurance contract, it covers health expenses not covered by the Assurance Maladie. In a given company, it must be dedicated to all workers (managers and employees), even if there are exceptions which will be mentioned below.

Depending on the company, it can also benefit the beneficiaries (spouses and children) of the said employee. Note that the contribution to the company health insurance plan is, in part, paid by the employer. It depends on the status of the employee (executive or non-executive), but a minimum level of coverage must be respected.

Why subscribe to a company mutual insurance ?

Since a few years, the implementation of a company mutual insurance to which the employees must subscribe has become mandatory for a company. The company’s share of the coverage is at least 50%. This should not be a problem, as there is a considerable tax advantage behind it.

The structure that adopts this system also benefits from an exemption from social charges. Since the contract is negotiated for several people, it is always cheaper. Moreover, subscribing to a company mutual insurance benefits the employee. The employee will benefit from several interesting guarantees, especially if he/she completes the initial offer with additional covers.

As far as the price is concerned, this complementary group health insurance is less expensive than an individual health insurance.

What are the exceptional conditions ?

The mutual health insurance is a protection adapted to the specificities of the activity, but which can also cover general cases. It should take effect at the time of hiring. Nevertheless, in certain situations, the employee has the possibility to terminate it.

This is, for example, the case if his employment contract has ended because he has retired, resigned or been dismissed. The departure abroad or the affiliation to the spouse’s mutual health insurance are also valid reasons. Note that the employer can also demand the cancellation of the mutual insurance company if he is not satisfied with the proposed coverage.

The procedures to follow to validate the cancellation of the contract vary from one company to another. The main thing is to respect some conditions: notice period, date when it is possible to ask for the termination… Also, don’t forget to subscribe to a new complementary group health insurance since the company mutual insurance is mandatory.

In short, you now know the important points about the company mutual. If you have any further questions, please feel free to refer to an online broker. This one really masters this complicated field of insurance.