The uninsured rate in America – whether due to the Affordable Care Act, voluntary employee benefits or perhaps a combination of both – continues to fall. In fact, its latest drop is plumbing depths that have never been seen before.
Through the first quarter of 2015, the national uninsured rate reached 9.2 percent, according to newly released statistics from the U.S. Centers for Disease Control and Prevention. That's down from 11.5 percent during the same quarter in 2014.
In terms of raw numbers, between January and March, 29 million U.S. adults didn't have health insurance, CDC reported. That's roughly 7 million fewer than the same three-month period last year.
Across the U.S., specifically among individual states, the uninsured rate has dropped almost universally. In Arkansas, for example, where in 2013 more than 22 percent of residents didn't have health coverage, it's since dropped to 9.1 percent, based on a separate survey conducted by Gallup. That's the largest percentage drop in the country. Kentucky also had a double-digit slide in the uninsured rate, dipping from 20.4 percent in 2013 to 9 percent through the first six months of 2015.
Oregon, Rhode Island and Washington were three other states where the rate of people without health insurance dropped by at least 10 percent.
Though more Americans are getting insured through a private health coverage provider, the vast majority of people in the U.S. have plans through their workplace. This was the case even before the ACA became law, which requires all businesses that have at least 100 full-time workers to be furnished with employee benefits. Otherwise, employers can be fined $2,000 for every worker who isn't offered coverage, needing to abide by the essential health benefits provision that the health care law established.
That said, this still leaves millions of companies that don't fall under the employer mandate, because they don't have 100 workers or more.
The following are some of the reasons why employee benefits serve as a win-win scenario, where health coverage benefits both the businesses that provide them and the workers who receive them:
Tax deductible
When it comes time to file income tax returns, the more tax write-off opportunities, the better it is for a company's bottom line. Entrepreneurs who are self-employed or who offer a group plan can deduct the costs associated from their tax returns because they count as a business expense. Furthermore, employees will save as well because health benefits aren't taxable.
Save on premiums with wellness programs
A reliable way that employers reduce workplace absenteeism is by promoting workplace wellness programs, where workers are rewarded for regular exercise, eating a balanced diet and taking control of their physical well-being. Offering group health plans allows business owners to save on premiums, perhaps as much as 30 percent by some estimates.
Coverage serves as reward
Employee benefits are labeled as such because they provide material gain to workers. Companies that reward staff members are more likely to attract top-tier talent. Occasionally, workplaces are recognized by media entities or human resources groups for offering great benefits. According to a recent poll done by Gallup, 80 percent of jobseekers indicated they'd be more likely to apply with an organization if they knew beforehand that it received a distinction, like "Best place to work" or "Best place for fringe benefits."
Helps with retention
Job security is something that workers highly value. However, when employers aren't incentivizing personnel to stay, besides a weekly or bi-weekly check, staff may take their efforts elsewhere to a place that does make employee benefits available. Thus, health insurance often encourages workers to remain loyal because they may not get the same kind of workplace advantages with a rivaling company.
