Recent reports indicate 90 percent of employers are seeing increases on their health insurance renewals this year. Not surprising, but the more troublesome figure is that 25 percent of these increases are in the double digits. To state the obvious, businesses need an alternative to address the increasing costs and restrictive participation requirements that make traditional group health insurance out of reach for most small businesses. A commonsense solution is to reimburse employees for their individual health insurance. Employees have already purchased an individual health plan, they like their coverage, and an employer contribution would be greatly valued. But…
With any new employee health benefit program, employee education is one of the most important factors for success. This is especially true with a premium reimbursement program, as it may be a new way for employees to receive healthcare benefits. To help your company implement a premium reimbursement plan, we’ve answered the top ten employee questions.
A common question we receive from small employers and their advisors is, “Is tax-free health insurance reimbursement still allowed?” The answer is yes, although there is a right way and a wrong way to go about it.
Here are tough statistics to swallow: 90 percent of employers are facing health plan premium increases, with nearly a quarter (23 percent) of employers seeing rate increases in the double digits. As a result, employers are making tough decisions about how to offer competitive benefits while also controlling costs. This is according to the 2015 Arthur J. Gallagher & Co. (Gallagher) Benefits Strategy & Benchmarking Survey.
Last week, the Columbia Tribune reported University of Missouri (MU) graduate students were losing their employer contribution to help with premium costs. The reason? MU’s practice of contributing to the university’s Aetna student health insurance plan (an “individual market plan”) was a non-compliant Employer Payment Plan. Staring down the barrel of a $36,000 annual fee per graduate student, MU canceled their health insurance contribution and opted to provide graduate students a one-time fellowship grant.
Small businesses strive to offer health benefits to recruit and retain the best employees. But, there is a problem. Traditional employer-provided health insurance is too expensive. As a result, only 54 percent of small and medium businesses offer health insurance today. To get the cost of health benefits under control, many small businesses offer a Section 105 Plan to reimburse employees tax-free for individual health insurance reimbursement. As small businesses evaluate this approach, a common question is: Who can participate in a Section 105 Plan?
Reimbursement of employee medical expenses is a common practice, especially among small employers looking for more affordable health insurance solutions. There are several ways to go about employee medical expense reimbursement, so what is the tax treatment? Here’s a look at the tax treatment for different reimbursement scenarios.
Instead of contributing to employer health insurance coverage, small employers are setting up Section 105 Medical Reimbursement Plans to reimburse employees for individual health insurance coverage. In this FAQ article, we’ll answer a common question from small employers: “Are Section 105 Plans tax-deductible?”
In today's market, navigating health insurance for yourself, your dental practice, and your employees can be a challenge. Last week, we wrote an article featured on DentistryIQ answering five frequently asked questions from small dental practices on the ins and outs of health insurance.
As a small business owner or manager, you’re a jack-of-all trades. With so many demands on your time, managing health benefits cannot, and should not, be a full time job. That’s why when it comes to evaluating small business health benefit options, it is not just about the line item expense. Administration time is also an important factor to consider. In this how-to guide, we’ll discuss administration options for small business health benefits and what these options mean to your healthcare and personnel budgets.
Disclaimer: The information provided on this website is general in nature and does not apply to any specific U.S. state except where noted. Health insurance regulations differ in each state. See a licensed agent for detailed information on your state. Zane Benefits, Inc. does not sell health insurance.