Group Health Insurance
As an employer, an important benefit is quality health insurance. This benefit contributes to attracting the best and brightest employees to your company. Unfortunately in many cases the cost of health insurance for your workforce is prohibitive. Although healthcare costs are rising, affordable options are available.
Businesses of all sizes have a variety of group health insurance plans from which to choose. They range from comprehensive group health coverage to consumer-directed savings plans.
Let's take a look at your group health insurance options.
consumer-Directed Group Health Plans
We refer to these group health plans as “consumer-directed” because the policyholders take control of their own healthcare dollars. These plans feature low monthly costs and tax-advantaged savings.
Comprehensive Group Health Plans
- Health Savings Account (HSA) Plans. An HSA is a bank account where you and your employees can accumulate tax-free income to be used for almost any health-related cost. The savings that are not used roll over to the next year — and also earn interest. Alongside an HSA, your employees will have catastrophic coverage with a high-deductible health plan — which features low monthly premiums to fit your budget.
- Cafeteria Plans: Allow your employees to decide where their benefit dollars go. They can choose from a "menu" of coverage options, such as medical, dental, vision, disability, accident, and term life insurance. By sharing the cost of benefits with tax-free dollars, you and your employees create insurance coverage that is more affordable for everyone. However unlike an HSA: in a cafeteria plan, the money contributed toward benefits does not roll over — it has to be spent the same year it’s deposited.
For comprehensive group coverage, the most cost effective options are Managed care health plans. Managed care plans create networks of doctors, specialists, hospitals, and other healthcare professionals who provide discounted medical care.
Below are some of the most common managed care group health plans:
- A PPO or Preferred Provider Organization provides comprehensive health benefits from an extensive network of care providers. When your employees receive care from in-network doctors, they'll save money. But they also will have coverage with any physicians or specialists — even if they're not in the preferred network.
- An HMO or Health Maintenance Organization is one of the many affordable group health insurance options available. Your employees must go to doctors within the network and choose a primary care physician, but HMO networks typically include thousands of healthcare professionals in your state.
- A POS or Point of Service group plan is a combination of the HMO and PPO. You'll choose a primary care physician, as you would in an HMO. But you won't have to get a referral for specialist care. Your employees will have coverage with both in and out-of-network doctors and hospitals, just like a PPO.
Click here to determine which group health plan option fits you best, or contact us via email or talk to one of our experienced Group Insurance advisors or Group Benefits specialists at 1.800.436.1213 (8am - 5pm CST)
Click Here to Learn More about Group Insurance
Group Health Information Resources