What are the benefits to opt for self-funded health benefit plans?

What are the benefits to opt for self-funded health benefit plans?

There are several group health insurance Virginia plans to choose from and self-funded health insurance is one of them. The plan allows small and medium-sized businesses to get control over the cost associated with healthcare and provides quality benefits to the employees. With these plans, you get quality, simplicity as well as cost savings without any need to manage and administer the plan. You get the stability too just like other traditional insurance plans.

Key advantages of self-funded health insurance:

This type of group health insurance Virginia offers several benefits such as :

  1. Predictable monthly premium: You can determine the value of the premium while choosing the plan and it will not increase at least for a year.
  2. Account management: You need not worry about administrative works such as payments for claims, reporting and customer service.
  3. Quality benefits: This plan is suitable for small and medium businesses and provides minimum essential coverage to the employees. So employees are not going to get an individual penalty. Employees get coverage for Preventive health care services completely.

individual penalty

How does the program work?

The self-funded program is quite similar to other traditional insurance plans and it is completely administered by the insurance provider once you set your monthly premium amount. Following are the steps of the program:

  1. Plan administration: The day to day functions of the program are handled by a third party administrator.
  2. Stop-loss insurance: The company protects the employees and company from higher than expected claims. This sets a limit to the business’s financial exposure.
  3. Claims account: the fund to pay employees’ claims is held in a claims account. If claims are less than expected then the business gets a refund of the account balance.

The self-funded health insurance plans are available at a varying monthly premium range and can provide value to your employees. So get a group health insurance Virginia for your employees and show them that you care for their health.

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