Manage your costs

Managed health-care programs help small businesses reduce administrative and paperwork costs while cutting premium expenses. You can choose from health maintenance organizations (HMOs), preferred provider organizations (PPOs) and open-ended HMOs, known as point-of-service plans (POS).

I recommend: BuyerZone's Health Insurance Buyer's Guide explains each managed-care option.

Find a broker who works for you

A skilled health-insurance broker will help you compare apples to apples in health insurance costs. Along with costs, your agent should explain all coverage aspects, reimbursement policies, employee privacy methods, deductibles, employee advocacy, incentives, screenings and claims analysis.

I recommend: Insurance Web is operated by insurance agents and carriers who help you compare insurance quotes from leading insurance companies. Or visit the National Association of Health Underwriters to search for a local broker.

Individualize your plan with innovative options

Small businesses can take advantage of health insurance options tailored for their needs. Health savings accounts (HSAs) are tax-free medical savings accounts generally used along with high-deductible health plans.

I recommend: Check out About.com's primer on HSAs to learn more about how they work. Search HSAFinder to locate HSAs. Joining larger groups can also lower your insurance costs; see eHealth Insurance for a list of group health plans.

Create a healthier workforce

Most work forces struggle with common health care problems like obesity, smoking, high blood pressure and diabetes. The more you focus on your employees' health, the more you gain in profits. Preventative efforts like from flu shots, health club access and online health assessments help reduce absenteeism and improve well-being.

I recommend: Investigate the free wellness program at SparkPeople. On the other end of the scale is Health Fitness Corporation (HFC), a wellness consultancy that serves brand-name clients like Verizon and FedEx. Or check out the Healthy Guidance wellness program developed by ComPsych.