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5 Common Health Insurance Mistakes

Finding a good company health plan is a must. But be warned, your decision is wrought with ways to waste money.

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This story appears in the May 2001 issue of Entrepreneur. Subscribe »

Buying health insurance for your employees used to be a fairly simple process-you didn't have a lot of choices, so there weren't many ways to make mistakes. Those days are gone. Today, the purchasing process is complex, with a dizzying array of coverage and pricing options that can confuse even the savviest business owner. And doing it wrong can cost you dearly-not only in cash, but also in lost productivity and employee morale.

David Mair, president of Applied Insurance Services Inc., a commercial insurance agency in Lake Mary, Florida, describes some of the most common mistakes business owners make when buying health insurance, along with how to avoid them:

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