Group Health Insurance Quote Tips

Group Health Insurance is necessary to attract and keep good employees. While employers may not like the cost of group health, they should be aware of the benefits to the company and overall morale. There may be things you as an employer can do to alleviate some of this costly pain. Also, all Group Health companies and insurance agents that offer them are not created equal.

The cost of this health insurance versus the need for solid employees should be weighed. There a perception that many in this country that employees will take a cut in pay if they were to be guaranteed a group health plan. There is a simple explanation for this reasoning. People know they will have to go the doctor. Women need to have mammograms and pap smears, the children need their shots and physicals, and men need their prostrate examined, people realize these services cost money. Employees often would prefer that you take money out their check for group health then for them to write a check each month for it.

Get up to Five Free Group Health Insurance Quotes

It is the job of to keep your group health cost to a minimum. If you already have a group health plan, you can raise the deductible to discourage overuse of coverage by your employees. However a dramatic raising of group health deductible or co-payment may cause some rumbling among your employees. Yet it is t is a good idea to start with a lower deductible, so you can absorb rate increases. (Your group health rates will go up) Also know beforehand what networks are in your area, and what health networks most of your employees' doctors belong to.

It is very important to review and understand your group health quotes that you will receive. Any insurance agent or broker that provides you with initial group health quotes over the phone, without having your employees fill out any applications, is doing you a disservice. Unless the agent is the Great Houdini, no one in our field can give you a firm, group health quote without a thorough underwriting. Group Health Insurance is too complicated to be taken this casual. Remember, look for an agent that gets to know your particular situation, understand your needs, and has the group health benefits that meet your expectations.

Is going with the biggest named group health insurance companies, the best choice? Choosing the "big name" companies over less known, group health insurance companies with reputable ratings, may not be in your employees and yours' best interest. All group health plan are not designed the same. If XYZ, group health companies pays 80% for a mammogram and ABC, group health company pays all, could it make sense to you to check the other benefits of the health plan?

Employers realize that they must offer group health to attract and keep quality employees. There are a few hints that can keep group health costs down. It is important to realize that an initial group health quote, with no underwriting is worthless and probably should never be used. The listings of the benefits of the group health plan would be meaningful. While big companies have good "branding," do not overlook smaller group health companies with good ratings.

Other Group Health Tips

1. Realize that you will be required as an employer to contribute as least 25% of the premiums for the group health insurance. (I never seen an group health carrier ask for less.)

2. Also realize that many group health carriers want at least 60- 70% participation of eligible employees to take the group health insurance or they will not underwrite the group.

3. Before you bind coverage with an agent or broker, find out who will process any claim paperwork and who your employees call about a claim.

4. Decide whether you will want current employees to keep their group health insurance when they retire.

5. Review and ask questions about such terms as group health deductibles, coinsurance, and maximum limits if you are not familiar with them

Bottom Line Health

Choosing a health insurance plan is not as easy as it used to be. The distinctions among health plans have begun to blur as
health benefits companies compete for your business.

Although there is no "best" health benefits plan, there are carriers that are a better fit than others for your business and your employees' health care needs.

As chief executive officer of VISTA, a health benefits company, I am not immune to the skyrocketing cost of health care. As an
employer, I face the same challenge you do of keeping health care costs affordable for VISTA's 1,000 Florida employees. My responsibility also extends to more than 10,000 South Florida employer groups and 330,000 VISTA members.

While many CEOs, presidents and CFOs complain about the cost of providing health benefits for their employees, they are rarely
engaged in the process of selecting a health benefits company.
Fortunately, South Florida employers enjoy a highly competitive marketplace when it comes to purchasing health benefits. While
there are many carriers to choose from, the differences among each are few. The network of providers, plan designs and services are all very similar.

So all things being equal, why pay more? How do you know which health benefits company is the right fit for your business?
Ask yourself these questions.

As an employer, how much can I afford to contribute to the premium?

What benefits will serve the majority of my employees?

Will offering employees more choices save or cost me money?

Does the plan have an adequate number of providers?

Evaluating cost

Business owners are searching for ways to reduce their health care expenses. Look for a carrier that administers your health benefits plan efficiently.

Administrative charges are a carrier's overhead costs. They are included in your premium and can vary significantly. These charges include processing and paying claims, answering
customer calls, marketing and advertising costs, and broker commission payments. Carriers with lower administrative costs usually are much more affordable than those with high administrative costs. When reviewing proposals from health
benefits companies, ask what they will charge you for administrative expenses.

Offering employees a choice

Giving employees the freedom to choose their health plan will help educate them about the valuable benefit you offer, satisfy
their need for health benefits and keep your premium contributions within your budget. Plan choices may vary by co-payment, network access and employee contribution. It will be the employee, not the employer, who is responsible for evaluating and choosing his or her health benefits plan.

Employees will have to determine how often they use health care services, what they estimate those costs to be and how they want
to access and pay for those services.

An adequate provider network

No health benefits plan covers every health expense an employee may have or includes every physician. You are purchasing group
coverage. As a business owner, you must evaluate whether the health benefits pIan you are considering offers an affordable level of benefits and a network that provides adequate
accessibility for your employees.

Your bottom line

In South Florida, there can be as much as a 15 percent difference in cost among the health benefits companies you have to choose from. The health plan you select should be cost-competitive and offer a choice of health plans and an extensive provider network to meet the needs of your group.

Whether your company has 20 employees or 1,000, your level of engagement in the decision-making process is vital in determining how health care costs will impact your company's
bottom line. Standing on the sidelines could be a price you cannot afford to pay.