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PEO for Health Insurance: A Game Changer for Small Businesses
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PEO for Health Insurance? Here’s Why Everyone’s Talking About It

By Jenny Barnes on Dec 26, 2024
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Have you heard of using a PEO for health insurance?

What if you could offer your employees Fortune 500-level health insurance — without breaking the bank or losing hours navigating the healthcare marketplace?

For many small businesses, affordable health insurance feels out of reach. But partnering with a certified professional employer organization (PEO) like Axcet HR Solutions makes it not only possible but simple.

As one client shared:

“Axcet was the only company willing to work with us and they found us an affordable solution that helped us provide our valued team members with a traditional plan typically associated only with large corporations. Thank you, Axcet!”  — Elyse M.

If you’re wondering how PEO health insurance works and if it’s the right solution for your company, here are three things you need to know.

1.  PEO Health Insurance Is More Affordable

For small businesses, providing health insurance can feel like an insurmountable challenge. According to the National Federation of Independent Business (NFIB), health insurance is the biggest cost center after payroll.

A 2021 survey of small business owners across the U.S. revealed just how burdensome rising health insurance costs can be.

Stat: 55% of respondents cited the cost of providing health insurance to employees as the biggest challenge they face.

Here’s why PEOs make health insurance affordable:

Bargaining Power

PEOs like Axcet aggregate small businesses into a larger employee pool, leveraging collective buying power to negotiate better rates.

Big-Business Plans

With UnitedHealthcare as Axcet’s partner, you gain access to premium, large-scale plans that are typically reserved for bigger companies.

Instead of going it alone and paying sky-high premiums, PEO health insurance allows you to provide competitive, traditional plans without the Fortune 500 budget.

Stat: Businesses that partner with PEOs experience, on average, a 10-14% reduction in health insurance costs compared to non-PEO businesses.

Stat: PEO clients are also 16% more likely to report an increase in profitability compared to non-PEO users.

Avoid These Common Health Benefits Mistakes >> — Learn how to avoid costly health benefits errors that impact small businesses.

2.  PEO Health Insurance Reduces Your Administrative Burden

Health insurance isn’t just expensive — it’s time-consuming. Finding, managing, and ensuring compliance with health plans can pull small business leaders away from critical tasks.

When you partner with Axcet, our team takes care of it all:

Plan Selection & Renewal

We source, compare and negotiate plans tailored to your needs.

Employee Support

We educate your team on options and handle issues like claims disputes.

Annual Open Enrollment

We streamline the process so you can focus on your business.

An Axcet client describes the impact this partnership has:

“They have taken the burden off our shoulders with ALL benefits from medical to 401(k) to legal matters. It’s like having a large HR team looking out for us even though we are such a small company!” — Moira V.

 And for those tired of dealing with health insurance frustrations:

“Health insurance is a pain! But Axcet is a big help!” — Kevin A. 

Stat: Employees at PEO client companies report higher levels of engagement (+5%) and are 8% more likely to intend to stay with their current employer until retirement compared to employees at non-PEO firms.

Explore the Right Mix of Medical Plans for Your Team >> — Ensure your business offers plans that meet your team's diverse needs.

3.  PEO Health Insurance Ensures Compliance

Navigating healthcare laws is no easy feat. Between ACA reporting requirements, ERISA regulations, and COBRA rules, small businesses face significant compliance risks.

Here’s how Axcet helps:

Affordable Care Act (ACA)

Ensure proper reporting for businesses offering health coverage.

ERISA Requirements

Avoid penalties by managing fiduciary responsibilities and disclosures.

COBRA

Stay compliant with continuation coverage laws for departing employees.

With Axcet’s HR and compliance experts, you can rest easy knowing your benefits administration aligns with all applicable federal, state, and local regulations.

Stat: 98% of businesses that use a PEO would recommend a PEO to other small businesses.

Learn More About PEO Insurance >> — Discover how partnering with a PEO simplifies health insurance for small businesses.

Why Small Businesses Trust Axcet for Health Insurance

When you partner with Axcet HR Solutions, you’re not just choosing a PEO — you’re choosing an experienced team dedicated to small business success.

With UnitedHealthcare as our health insurance provider, you get:

  • Access to top-tier plans typically reserved for larger companies.
  • Expert benefits management tailored to your needs.
  • A trusted partner handling the heavy lifting so you can focus on growth.

As one of our clients put it:

"It's like having a large HR team behind us — without the cost of hiring one."

Explore More About Axcet's Employee Benefits >> — See how Axcet delivers tailored solutions for small businesses.

Health Insurance Made Simple with Axcet HR Solutions

Providing affordable, high-quality health insurance doesn’t have to be complicated. With Axcet HR Solutions, you can save time, reduce costs, and offer plans that keep your employees happy and healthy.

Ready to explore how PEO health insurance can work for you?

👉 Schedule a conversation with Axcet HR Solutions today to find the perfect plan for your business!

Want to learn more?

Check out how partnering with a PEO can transform your business with better benefits, streamlined HR and cost savings. Let’s take the stress out of health insurance together.

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Written by Jenny Barnes

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