April 16, 2014 by Bill Enright
With the introduction of Affordable Care Act (ACA) regulations and the steady increase of healthcare costs, it’s becoming more difficult to save money and control costs. Self-funding your Health Insurance plan may be a smart ACA strategy for your organization to consider.
Here are the four key advantages for self-funding:
March 4, 2014 by Trent Teesdale, CEBS
Guidance on the Affordable Care Act continues to be issued at a dizzying pace. Deadlines come, and then are extended. Parts of the law are implemented as scheduled and others are pushed off, sometimes indefinitely. As a result, employers are left scratching their heads wondering what will appear next on the horizon. This confusion can often lead to policy stagnation with respect to employee benefits. Yet, there is a looming provision which could greatly affect the cost of providing high quality insurance to employees.
February 18, 2014 by Bill Enright
Health Insurance costs continually rise – it’s like a runaway train with no end in sight. Last year’s average increase was around 4%. School districts and other local governmental employers need to begin looking at cost containment in a new way. It’s a shift from financially-driven decisions to strategically-driven decisions. It is no longer feasible to only look out over the next year taking one contract/renewal at a time. Now is the perfect time to create a 3-5 year strategy to position yourself correctly for the future. Your insurance consultant can help you.
Retiree Health Insurance Interview Series, Part 3: The Long-Term Transition to HRAs for School Districts and Early Retirees
Keeping early retirees on the school district’s group health plans can be expensive for the retiree, the district and consequently, current employees (overall premiums increase with retirees as participants on the plan). While viable alternatives for retiree healthcare didn’t exist in the past, the Health Insurance marketplaces (previously called Exchanges) under the Affordable Care Act (ACA) provide early retirees with the ability to retire around age 55 and yet receive affordable healthcare.
Most early retirees perceive the insurance benefit as a reward for their years of loyalty and hard work; therefore, most districts have plans to continue offering the benefit. Also, more often than not, retirees still need financial help from their employers to pay for coverage. Retiree-Only Health Reimbursement Arrangements (HRAs) provide the solution for both early retirees and employers.
The ACA Watch newsletter and blog/website is not intended to be exhaustive nor should any discussion or opinions be construed as legal advice. Readers should contact legal counsel for legal advice.
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