As business owners, we want to offer benefits that will take care of our employees in their time of need. We want to provide for their health, if they lose a loved one or if they are disabled and can’t work. Short-term, long-term, and life insurance are typical benefits that employers offer in the US as a standard option.
These are not things we want to think about. But we have to if we want to be good stewards who take care of our teams. That being said, managing benefits carries enormous liability when we offer them, and in my role as an HR consultant, I see a lot of unaware business owners.
If an employee enrolled in short- or long-term disability or life insurance and someone isn’t truly auditing the bill (and by audit, I mean a REAL monthly audit that is referenced in one of my previous blogs that can be found HERE), and a mistake has gone unchecked for too long & no one caught it—when an employee has to be out of work due to a disability or they pass away… the insurance carriers may not pay the claim.
Or life insurance. Get my drift?

Offering benefits to your employees is expensive. However, providing benefits without proper management is expensive and poses significant liability risks.
