Attract And Attain The Right Candidates With Your Health Insurance Plan

Health Insurance

We’ve all gone to the doctor’s office when they suggest undergoing more-than-anticipated testing or treatments and had the dreadful thought, “How much is this going to cost me out of pocket?” This experience is even more significant when this situation happens to your spouse or children. As an employer, it’s essential to understand this experience and do everything you can to minimize it by choosing a generous benefits plan for your staff. Especially because when an employer is looking at their benefits costs, the largest driver is Health Insurance costs.

Health insurance is a significant factor in overall compensation and something potential employees weigh heavily when considering a job opportunity. Because of its significance for the employer and employee, it is important to fully understand the impact that your choice of health insurance plan has on an employee’s overall compensation.

The Surprising Impact Of Health Insurance On Overall Compensation


Organizations can offer insurance options that include coverage for just the employee, the employee and their spouse, or the employee and the rest of their family (spouse + children). These different health insurance plans have a significant impact on an employee’s overall compensation and can be a huge factor in job selection and satisfaction.

As you can see in the chart below, an executive pastor making $75,000 a year with a health insurance plan for their entire family would gain nearly $5,000 more in benefits than an executive pastor making the same salary with a health insurance plan that only covers the employee. Furthermore, the executive pastor whose family isn’t covered by their employer has to spend their salary on insurance for their family, essentially reducing their take home pay by an additional $5,000.

Health Insurance CoverageCost Chart

If you look at take home pay without considering benefits, especially something as critical as health insurance, you’re missing a huge part of the puzzle. As an employer, the more support you show and resources you offer to benefit employees’ personal lives, the more invested they’ll feel in working hard for your church or organization’s mission. Because our health impacts our entire lives and can be a huge stressor and expense, offering a generous plan will have a significant positive influence on your employees’ quality of life and work output, so it’s imperative to take this decision seriously.

As an employer, you don’t want your employees to worry about how they will take care of their families. Additionally, many pastors have large families, giving them even more reason to appreciate and value more substantial coverage.

At Vanderbloemen, we have asked over 3,000 participants if their church offered health insurance. 71.36% responded that their church does offer health insurance to staff members, while 28.64% do not offer insurance. Of these surveyed that do offer health insurance, the following is the breakdown of coverage: only about 40% of churches across the country offer health insurance for their employees’ entire families. When potential employees are weighing their options for where to take a new job, this will be one of the most significant elements of their decision-making process.

Coverage Chart

What Should I Do With This Information?

Compensation, including health insurance benefits, is a stewardship decision that comes from those who govern your organization, so it’s important to remain informed in this area. With our customized compensation reports, you can see where your organization falls in regards to other organizations of similar budgets, cost-of-living, and size to help you make compensation plans that will wow potential new employees and ensure your staff feels loved and cared for. We hope this data allows you to become an even better steward of your organization’s resources and helps you make these challenging decisions with peace of mind.

At Vanderbloemen, we are passionate about helping you make wise and sustainable compensation decisions—and we know it’s not the easiest or funnest part of the job.We’d love to chat with you if you have any questions about our compensation resources or are looking for your next hire.