Can Enhanced Health Coverage Reduce Employee Absenteeism?

Imagine this scenario: one of your employees falls ill and skips work. Not because they’re too sick to show up, but because they can’t get seen by the NHS, nor can they afford private treatment. It’s a reality many employees and businesses alike are facing, as the NHS struggles with long wait lists, prompting many to seek private healthcare that’s out of reach for those on tight budgets. 

Yet, what if there were a way to reduce these losses and boost workplace attendance? The answer could lie in Group Health Insurance.

A study published in the Journal of Occupational and Environmental Medecine found that comprehensive Health Insurance significantly reduces workplace absenteeism. Employees with access to robust health benefits are more likely to seek preventive care, manage chronic conditions more effectively, and recover more quickly from illness. At YuLife, we are passionate believers in both the business and wellbeing benefits of providing valuable employee benefits, and in this article, we’ll explore how enhanced health coverage can make a difference and what this means for your bottom line.

The link between Health Insurance and absenteeism

The Journal of Occupational and Environmental Medicine study makes it clear that employees with access to group health coverage took fewer sick days compared to those with limited or no insurance. Why? Because having access to healthcare reduces the barriers to seeking timely medical attention. Chronic conditions, such as diabetes or hypertension, are better managed, and minor illnesses don’t escalate into prolonged absences.

What’s more, the impact goes beyond physical health. Research from the Integrated Benefits Institute shows that poor employee health costs the US economy $575 billion annually, while data from the UK's Institute for Public Policy Research shows it costs UK firms more than £100 billion per year. And a significant portion of this is due to lost productivity from absenteeism and presenteeism.

“Health and wellbeing are at the core of a thriving workplace,” says Sammy Rubin, Founder and CEO of YuLife. “By providing employees with access to better health coverage and incentivising healthy behaviours, businesses can unlock the full potential of their teams.”

Preventive care is a game-changer

One of the most significant advantages of having access to Group Health Insurance through YuLife is our focus on preventative care. Regular screenings, vaccinations, and wellness check-ups mean your team can identify health issues before they become serious. In fact, studies have found that workplace wellness programmes focusing on preventive care could reduce sick leave costs by up to 25%.

YuLife takes this a step further by gamifying wellness. Our employee app encourages your team to adopt healthier lifestyles through daily challenges and rewards. By promoting exercise, mindfulness, and healthier habits overall, YuLife not only supports your team’s physical health but also helps reduce the risk of long-term absenteeism.

Mental health and wellbeing coverage

Mental health issues are one of the leading causes of absenteeism and they often go unnoticed until the point when someone can no longer cope. According to the World Health Organization (WHO), depression and anxiety alone cost the global economy an estimated $1 trillion per year in lost productivity.

Robust Health Insurance that includes mental health support – such as therapy sessions, counselling, and digital tools – can make a significant difference, enabling an employee to get the quick and ongoing care they need. YuLife’s holistic approach to employee wellbeing integrates physical and mental health, ensuring your employees have the resources they need to thrive both personally and professionally.

“Wellbeing isn’t just about treating illness; it’s about creating an environment where employees feel supported and empowered to look after their health,” Sammy explains. “This approach benefits both individuals and businesses alike.”

The business case for Group Health Insurance

Investing in health cover for your team is a shrewd business move as well as being a nice thing to do. Studies have shown that organisations offering comprehensive health benefits see measurable returns, such as:

• Reduced absenteeism
• Improved retention, with health benefits consistently ranking among the top factors influencing job satisfaction and employee retention.
• Increased productivity because healthy employees are more engaged, focused, and efficient.

What’s more, a survey by Harvard Business Review revealed that 88% of workers consider health benefits when choosing a job, and would even take a lower salary if it meant getting health coverage.

YuLife’s role in keeping employees healthy and present

YuLife’s innovative approach to health cover and employee wellbeing stands out by combining Group Insurance with a gamified app that rewards healthy behaviour. Employees earn YuCoin, a virtual currency, for completing wellness challenges, which they can redeem for rewards or donate to charity. This approach not only improves health outcomes but also fosters a more positive and engaged workplace culture.

“We’ve seen firsthand how empowering employees to prioritise their health transforms workplace dynamics,” Sammy says. “YuLife can help you create a culture where wellbeing is celebrated and rewarded on a daily basis.

“When businesses prioritise health, everyone wins. Employees feel valued, teams perform better, and organisations thrive.”

About YuLife

YuLife is working to reimagine the insurance industry by protecting lives, rewarding living and inspiring life. We’re on a mission to transform traditional insurance into a life-enhancing experience each employee will value and use daily. 

How does it work?

Our award-winning app uses behavioural science and game mechanics to reward your people for living well while offering protection in case of crisis. And with our top-rated employee assistance programme, your team gets access to mental, financial and social support, virtual GPs, nutritionists, life coaches and more to help them live their best lives.

Because we believe that your employees should benefit from their insurance from day one — and that wellbeing should be accessible every day, for everyone.

Request a demo for your team today.