Easy, Predictability, Control, Savings
In many cases, self-insuring an employee health benefit plan is a smart long-term health strategy to control cost. It can provide an excellent opportunity for employers to understand where their premium dollars are going and how to act upon trends in their claims. Typically for larger employers, self-insuring can also be a great solution for companies with as few as 25 employees. The LBL Group simplifies and facilitates the transition to self-insuring from fully insured health insurance plans. Administration -no worries- we work with some of the top third party administrators (TPA) and health plans from across the country to provide employers self-insured solutions.
Advantages of Self-Insuring Employee Health Benefits:
Self-Insuring an employee health plan offers potential savings for many employers.
- Pay only for actual claims – at a discount
- Know what you are paying for
- Know the providers you are paying
- Offer the same plan across state lines
- Tailor your plan design
- Experience fewer surprises by knowing how your plan is performing throughout the year
Customized, Flexible Plan Designs
By self-insuring, The LBL Group will assist your organization in custom designing benefit plans, including CDHP and tradition low-cost to high-cost options. In addition, by customizing provider networks, an organization can develop network coverage to meet their employee needs, steer plan participants to network providers and increase overall employee satisfaction.
Elimination of High-Cost Benefits
Plan design flexibility also allows organizations to eliminate high-cost and state mandated benefits that employees do not value. In some cases these can be replaced them with lower cost benefits employees want, including alternative treatments such as chiropractic care and acupuncture. The LBL Group utilizes the largest employee health plan survey to help you -the employer- to recognize which benefits are valued and which ones are not. To learn more about employee surveys, please click here.
Administrative and Financial Control
Unlike fully-insured plans, self-insuring provides data transparency and administrative control. Employers are able to identify opportunities to increase administrative efficiency, monitor plan finances and ultimately optimize plan performance to reduce overall costs.
State Regulations and Taxation
Self-insured health plans are only subject to federal ERISA regulations eliminating the need to comply with costly state health insurance mandates. Furthermore, by eliminating most state premium taxes, self-funding delivers additional cost savings.
Year-End Balance Rebate
Under a fully-insured health plan arrangement, if your company claims are low the insurance carrier retains the profit at year end. With self-insured plans, if actual claims are lower than predicted, companies benefit. In some self-insured arrangements this can be in the form of administrative credits.
To receive your free consultation and quote, please call and ask for the
Self-Insured Health Plan Department