I am an HR professional and I feel like it is the same ole same ole....am I wrong? You might be.
Let's start with a quick review of what is and finish with why there is an innovative product available now that you should consider implementing!
Generally insurance works by bringing together money from many sources (premiums) with rules on when it can and can't be spent (the insurance plan). Catastrophes generally don't hit everyone at one time, so the premiums can provide resources to those that need them at that time and then the resources are replenished for when the next people need them.
Generally everything costs money and people are often motivated by receiving money or saving money. So if we all decide to invest in an insurance product, the rules are set and the money is kept and spent to support the goals that we bought into by buying the insurance product.
Some highlights about Insurance and the Law’s effecting Insurance Plan designs
1960's - Tax Deductible Employer Sponsored Health Insurance Plans
Employers offer their employees access to a health insurance plan. The employer was able to reduce the cost of the insurance through tax deductions making it more possible for an employer to offer this benefit to their employees. And the premium was a little lower because a group of people were enrolled in the plan rather than relying on one by one enrollment.
Employer insurance traditionally helped pay for services right away, but high deductible plans (while existing since the 70’s) started to be recommended again around 2004 which lengthened the timeframe in which insurance helps to reduce the cost for services for the consumer which allowed premiums to stay more affordable. Eventually employees were motivated to choose an HSA eligible plan because of the tax savings offered to them in addition to the lower premium, especially when they were already pretty healthy and unlikely to use the services that would result in higher costs until the deductible was met.
2004 - High Deductible Health Savings Accounts (HSA) Health Insurance Plans were born
Higher initial costs for service can force an enrolled consumer to try some self care methods or give the issue some time to go away on its own before a medical professional is called upon which can reduce claims which can allow premiums to be lower. However, this was not an ideal plan for those that knew they had health issues.
2010 - Affordable Care Act (ACA)
In 2010, the ACA was invented. The government was trying to make health insurance accessible for all folks, even those with pre-existing conditions, as those folks typically cost the system a lot of money, so they were often deemed uninsurable. They were also trying to make insurance available to those that couldn't get a plan through employment.
In addition, Minimum Essential Coverage (MEC) was defined - basic coverage for things like preventive visits where it has started to be recognized it is cheaper for the system to treat earlier. An HSA plan otherwise would have demotivated enrollees to take care of small issues before they became big issues. MEC activities are generally very low cost on any plan even before a deductible is met. However, our current system still depends on money to start the pool and pay out on those claims - until now.
2012 - MEC + Health Management Program
We have found a product that offers that minimum coverage AND is able to provide health management care and education while creating the savings to both the employer and the employee that allows the program to be $0 net cost to everyone participating.
Now that you may have spilled your water or your coffee .... get that cleaned up. And then schedule a one hour meeting with Dean or Kari. Let us tell you more. You can schedule that visit online or you can call our offices!
Wouldn't it be fun to report to leadership that....
1. You are a small company who has not yet implemented health insurance for your employees but you want to
and you CAN afford to give your employees access to baseline care for $0 net cost, $0 deductible, $0 copay per service....for real
2. You are an established company and you do offer your employees health insurance but you just had to ask leadership and the employees to afford higher premiums, sometimes without being able to give them a raise or a bonus...
implementing this program can result in a decrease of future years' premiums and
in the mean time you will save the company some money
you will save the employees money and you will increase their take home pay
you may even keep the family pet healthier
...for real !
If you agree with us that it is worth looking at. Please schedule a meeting with us.
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Choosing employee benefits can be difficult and is very overwhelming. Twin City Underwriters, for more than 50 years, has helped small group employers in Minnesota find the plan that meets their employees' unique needs while keeping the company budget in mind. Schedule a one-on-one meeting with one of our insurance brokers to start to map out a plan for you!
Do you need help with employees that are retiring? We help people with the transition from employer insurance to their own insurance, which is often Medicare, all the time! We represent all of their options so you can feel confident in your referral that your employee's needs will be of utmost concern - and they will hear about all of their options. Our agents are paid an hourly wage - not a commission. Have them Contact us today to get started.