Group health Insurance is in crisis for small groups

Group health insurance is in a CRISIS

Group health cost are unsustainable

  • 2.3 million small business do not even offer group plans
  • Groups under 50 employee do NOT have to offer group health under PPACA
  • Cost keep going up
  • Employee share keeps going up
  • Employers must pay for at least half of employee only rate
  • Some employee do not see value and do not participate even with employer subsidy
  • If too many employees say no then participation is too low to form a group

Solution

  • Individual health insurance offers more choice and more value
  • Individual health cost less to the employer
  • Individual health insurance is guaranteed issue
  • Individual health insurance allows employees to choose carrier & type of insurance
  • Individual health is eligible for new IRS Subsidies

One Example

Single

  • Cost of individual $2,424 / year
  • Cost of Employer Plan $6,492 / year
  • Savings Per Employee $4,068 / year
  • Percentage Savings 63%

Family

  • Cost of individual $7,248 / year
  • Cost of Employer Plan $18,312 / year
  • Savings Per Employee $11,064 / year
  • Percentage Savings 60%

This does not even take into consideration SUBSIDIES. Savings could go up to 95% with subsidies.

Employer Funded Individual Health Insurance is the Common Sense Solution

Tax-free reimbursement of individual health insurance is 100%
allowed under Internal Revenue Code (IRC Section 105)

Self Insured Medical Reimbursement Plan and all others must comply with federal rules IRS, HIPPA, ERISA, and PPACA

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