Employee Benefits

With fully insured plans, the company pays a premium to an insurance carrier for insurance coverage. With a self-funded plan, the company can share in the risk and return of the health plan. While this could save some money, it also opens up the company to risk if more claims than expected must be paid.

Group Health Insurance is an insurance policy where employees are covered under a single policy or contract, typically provided by their employer.

Many health insurance plans have a monthly premium, along with deductibles and copays. There may be other options to consider, such as a health savings account, health maintenance organizations, preferred provider networks, and point-of-service health care plans.

It is not uncommon for people to lose their group health insurance because of a job change or job loss, but many can keep their coverage temporarily under the Consolidation Omnibus Budget Reconciliation Act of 1985 (COBRA). But, this act may not apply to all employers, and many states offer a continuation of coverage that is more generous than this act.

Many of those who leave group insurance will have the option to enroll in individual coverage. Individuals may be eligible for a special enrollment period to enter the individual insurance exchange and seek a government subsidy, depending on their circumstances. Individual coverage alternatives may become increasingly restricted after a person enrolls in COBRA or state continuation. Once COBRA coverage has started, you may only be able to enroll during the yearly open enrollment period or at the end of the year.

When employees are offered dental insurance coverage, they may be more inclined to take advantage of the dentist’s preventative service. This can save money on group medical insurance by reducing the risks of problems impacting the employee’s overall health. For example, neglecting to care for one’s teeth can lead to gum disease, often associated with coronary heart disease. In addition, good dental health may be linked to reducing the risk of diabetic complications.

Short-term and long-term disability plans can be great for employees, and many companies opt for this coverage as part of an employee benefits package.

On the chance that an employee becomes disabled, short-term can help replace a portion of their income, typically for less than one year.

Long-term disability often starts after short-term disability insurance stops. Frequently, these benefits end when the employee ceases to be disabled, the employee becomes eligible for benefits under another plan, or when the maximum benefit period is reached.

Many businesses are offer group life insurance along with their other forms of employee benefit insurance. This may be a way to ensure financial support for an employee’s family after tragedy. In some cases, employees don’t have to undergo a medical test or answer health-related questions to be eligible.