A sample text widget

Etiam pulvinar consectetur dolor sed malesuada. Ut convallis euismod dolor nec pretium. Nunc ut tristique massa.

Nam sodales mi vitae dolor ullamcorper et vulputate enim accumsan. Morbi orci magna, tincidunt vitae molestie nec, molestie at mi. Nulla nulla lorem, suscipit in posuere in, interdum non magna.

Small Business – Health Benefits Discussion

Image result for healthSmall businesses with 2-50 employees are a growth engine for the American economy, continuing to grow year over year. However, fewer of these employers are offering health insurance.

The percentage of firms offering health benefits dropped from 59 percent in 2012 to 53 percent in 2016.

At the same time, medical loss ratios have increased in light of the introduction of an 80 percent minimum threshold and the rising cost of care. Carriers face a dual threat of decreasing enrollment and rising medical costs, forcing them to re-evaluate the way they do business.

Health insurance when you work in a large corporation seems like a “right” but I can assure you and you may well know, that it is a rare and unpredictable thing as a contract worker, and the same for small businesses employees. When I contracted for 10 years, changing every 6 – 12 months to a new gig… health insurance was different every single time. It can be enough stress to cause illness. Ironic, yes? In order to assist job flexibility we have to resolve this issue, with portable health care or a care account that can move with us. It has to be affordable too, which is NOT the case in most insurance for one person. I would like our country to explore basic health care, but it seems to be an insurmountable task. Many of us won’t compromise, wanting it ALL (all the benefits, Rx and extras) but some employed people are getting none – nothing – nada.  — the editor

Impacting the medical cost trend requires participation of a wide variety of stakeholders, many of whom the carriers cannot directly impact. Therefore, carriers are more likely to try to reduce administrative spend categories, where there is more that they can directly influence. The broker channel, given the high cost of commissions, is a frequent target. In theory, if carriers adopt a direct-to-employer sales model, they can cut out the middleman, thus improving service and eliminating commissions.

Full Article from Accenture Consulting.

Leave a Reply