Q: Why does my organization need benefits?
A: Some advantages of a Group Benefits Plan are: *You have an edge in the job market. You attract and retain employees, which helps minimize costs associated with high turnover. *You have access to insurance at a reduced cost. Compared to most individual health and dental plans, you save a lot of money when buying for a larger group. *You have a tax effective form of compensation. Most premiums an employer pays are tax deductible as a business expense.
Q: How many employees do I need to have in order to have a group benefit plan?
A: Currently the minimum number of staff in order to have an employee benefit plan is 1.
Q: How much does a group benefit plan cost?
A: Depending on the number of employees, the type of coverage you are looking for etc. the cost can range. Contact us directly to get details on the options available.
Q: Does the company/employer have to pay some of the cost? How much?
A: Yes. All insurance carriers require that employers pay at least 50% of the cost of the benefit plan. This is because technically the contract is between the insurance carrier and the company/employer. In order for the employer to have an interest in the contract they must be paying at least 50% of the cost.
Q: What is a ASO plan?
A: An Administrative Services Only or ASO Plan is an alternative way for employers to fund their employee group benefits. Using an ASO plan, an employer will assume the cost of predictable claims while being protected by pooled stop loss insurance.
Q: What is a Health care spending account.
A: Health Care Spending Accounts (HCSA) are an alternative to traditional group health plans. They are affordable, flexible, and a cost-effective way to meet the changing needs of many employers and the needs of their employees. Many employers are considering HCSAs as an alternative when reviewing or initiating their employee benefits plan. A Health Care Spending Account is a pre-determined amount of money provided to employees at the beginning of each benefit year for coverage of their medical and dental expenses.
Q: Should I use an insured plan, an ASO or HCSA plan?
A: It is important to take the time to understand how each option works in order to determine which is an appropriate solution for your company. Please contact us to get more detail on all the plans available.