What Types of Insurance are Available and Why They Are Important
You’re ready to take the next step into improving your business through group health insurance plans. You’ve got your employee’s benefits in mind, but also your company’s bottom line. Both are important. So, here are the different types of insurance plans available to your company, and how exactly they’ll help you out.
Fully-Insured Employer/ Large Employer Group
- Why You Should Choose This: You’re wanting a solid plan that provides the most coverage. This is if you’re wanting major medical or health maintenance organization (HMO) coverage.
Business planning is all about finding what works for you, insurance or otherwise.
- What It Offers: A traditional policy that is common, so more support or offers from agencies. You also party directly to the agency.
- Requirements: Just the basic group insurance requirements: be a business of two or more people and enroll during the specified period.
Small Employer Group
- Why You Should Choose This: You’re a smaller company or a group in a larger company seeking a cheaper option. Insurance agencies can more accurately predict risks in a smaller group.
- What It Offers: Cheaper options with higher coverage and the same policy for each employer.
- Requirements: Basic group insurance needs met.
Health Maintenance Organization (HMO)
- Why You Should Choose This: You want to pay for specific health services via monthly premiums.
- What It Offers: More control when it comes to enrolling for general services.
- Requirements: A good knowledge of doctors and care facilities as you will have to stay within a network.
Self-Funded
- Why You Should Choose This: You wish your company to be in complete control of the payment for coverage.
- What It Offers: More control as your company is the one taking the costs.
- Requirements: Basic group requirements
Association Group
- Why You Should Choose This: You are not an employer, but you still wish to offer group health insurance to a set of people.
- What It Offers: The ability to get group health insurance for a non-business type.
- Requirements: Basic group insurance needs met.
Level Funded Plans
- Why You Should Choose This: You wish to pay a monthly premium instead of an annual one.
- What It Offers: A graduated payment plan instead of a lump sum at one time.
- Requirements: Census information will be taken of the group you wish to be insured in order to determine your monthly rate for coverage.
Preferred Provider Organization
- Why You Should Choose This: You’re wanting something similar to the HMO plan earlier but with more flexibility.
- What It Offers: More choices when it comes to doctors and facilities with the risk of being more expensive due to administrative costs and negotiated services.
- Requirements: Basic requirements met.
High-Deductible Health Plan with Savings Option (HDHP/SO)
- Why You Should Choose This: You don’t think your employees will use medical services, so you trade higher deductibles for lower monthly costs.
- What It Offers: Cheaper options at the expense of your employees. However, this may be paired with a health savings account to counteract the higher out of pocket costs.
- Requirements: Basic group insurance needs met.
Your Agent
With all of these to take into account, it can get overwhelming quickly. An insurance agent is specially prepared to navigate these waters and make sure you’re getting the exact plan to fit your needs.
Sometimes, not all employees will want or need this coverage. After you take stock of your company’s team and needs, look to a specialist for a guiding hand.
EZ.Insure offers you another helping hand. Your agent will answer any questions you have, compare the plans for you, and even sign you up, free of charge. To get started simply enter your zip code in the bar above, or you can speak to an agent by emailing [email protected], or calling 888-998-2027. EZ.Insure makes the entire process easy, simple, and quick.
