Insurance--To offer or not to offer

Hello,

Would really appreciate some feedback from fellow chefs on offering insurance to employees. I run a small restaurant with a staff of 5 cooks and 2 dishwashers. Everyone is screaming for some kind of insurance. I have been looking into different group policies, but they seem way out of reach for my budget. The only time I ever got insurance as a cook was when I worked for a large corporate kitchen (Aramark). Anyone have a creative solution for a small kitchen?


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Thanks,

Chef Joe
Keep Cookin'

[m brown]

Joe,
the only time besides the big houses, insurance was offered at a price to employees after 6 months employment. the house might pay 1/10 of the policy and employee might work an extra shift a week or so to make the cash to pay the policy. look into other restaurant group insurances where your business goes in with others to cut costs.
i am lucky to be married to a fellow not in the business with great coverage.

[Pete]

I never had insurance as a cook but I think that that is wrong. I don't think that a small restaurant should have to pay cook's insurance but you can get better deals than they can alone so you should offer a group policy. It's up to you then to figure what you can afford to pay on their behalf whether it is 0% or 50%.

[Jim]

I have been on both sides of the table, if you will. I worked in several independent units that offered no insurance benefits. Given the cost of medical insurance, there is no doubt that the fiscal state of restaurants would be harmed by providing insurance to their employees. On the other side, however, I am now employed by a very large corporate dining service that offers medical insurance. My findings are that most established chefs, managers and the like eventually move into the corporate world out of sheer necessity; not to say that there are not great chefs & managers involved with independents, but the economics indicate an essential need to be insured.
Unfortunately, in your position, I guess the question has to be is whether or not your staff is expendable versus the expense you may abosrb with insurance. In some instances, I would imagine that an expense like insurance could force some smaller operations well into the 'red'. Good luck! I am curious to read about your ultimate decision.

Hey everyone thanks for the great responses it has helped me think this thing through more clearly. It is a tough decision because I care a great deal for my cooks and servers and want to give them incentive to stay (such as insurance). But even with insurance it is tough so tough to keep people on staff. I don't know too many people that actually want to stay a cook or a server for a very long period of time.

Chef Joe,

Keep cookin...

Small solo restaurants must eventually provide health insurance. As the workforce gets smaller due to lower unemployment and a booming economy, those entry level employees that we depend on will choose other professions with better packages.

Independent restaurants could form limited partnerships together in order to broaden the pool of employees and defray intial costs. Places like art galleries and community centers have done this successfully.

[denverdashed]

Originally Posted by Chef Joe

Hello,

Would really appreciate some feedback from fellow chefs on offering insurance to employees. I run a small restaurant with a staff of 5 cooks and 2 dishwashers. Everyone is screaming for some kind of insurance. I have been looking into different group policies, but they seem way out of reach for my budget. The only time I ever got insurance as a cook was when I worked for a large corporate kitchen (Aramark). Anyone have a creative solution for a small kitchen?


------------------
Thanks,

Chef Joe
Keep Cookin'

Hey, you might wanna try checking this site, might help you with your budget. http://www.insurance-quote-free.com
I was amazed with the premiums I was quoted on. The entire quote was
automated, simple questions and straight forward answers.

[ichefdiane]

If this is a survey, let me vote NO. I have been in business many years and tried the total coverage (at huge expense) policy. It does not create loyalty, and three times I have been required to continue coverage for 6 months for employees no longer working here - long story. If you have a valuable employee pay them well and let them decide how to spend their income.

[ricib]

wow, almost 5 years later, and this is still being responded too!

The place I was recently at, offered Insurance only to select people. I didn't understand who or what or why, then they told me you have to work at least 35 hours a week, or the chef who made it a requirement for his employment. It didn't take long to figure out why they never let anyone have 35 hours or more.

It really depends on the owners and how cheap they want to be in some cases. not that insurance is cheap, because it's not, but "workers" are totally expandable. I worked for not such nice owners, worked, as in not anymore. I dont' require insurance, but it'd be nice to know the owners care abotu the people who care(d) about the restaurant they are at or were at.

[blaire576]

insurance has changed dramatically over the last five years and this will no doubt arm you with the knowledge you need to get the most out of your next health insurance plan. First, an individual or family needs to identify with what they need out of a health plan. Notice I say need, because unless you make more money than you know what to do with there is no way in the world most people can afford the "Perfect" plan with all the bells and whistles. see http://www.insurancepaylite.com

[MJcookin]

I work for a small but quickly growing restaraunt where the owners are highly involved in the company and staff. They provide unique services for our staff in hurricane emergencies, housing, and many other benefits. They offer a group plan but do not pay any portion of our insurance but we generally get paid a buck or so an hour above other places. Its always been great actually being insured and still working for a small business at not much cost to them. (or so I'm told, I don't know how much small is to them!).

and yeah, it is pretty interesting as someone said that this post is 5 years senior and people are still responding