Group Medical Insurance
Our office handles many clients that are switching to a new category of insurance. Usually, a client is moving off of an employer plan and will go to an individual and family policy. They may also newly eligible to enroll in a group medical insurance plan after starting a new job. Although these two types of plans can have very similar benefits, there are some key differences that may come as a surprise when switching.
Plan costs and contributions
If you are on a health insurance small business plan, then you should know that your paycheck contribution is not the full cost of your insurance. Your employer must contribute at least 50% of the lowest costing plan. If your employer offers multiple plans, then you may have to contribute the excess premium for the richer policy. Even though you are contributing to the plan, a group medical insurance policy has lower monthly rates. This is true even if you enroll in the exact same plan as an individual. This means you receive a discount in addition to your employer contributing to your plan, making it much more affordable.
Insurance Carrier Options
In Nevada, an individual or family or has three insurance carrier options to chose from for qualified insurance. United, Prominence, Aetna, and Anthem were the major players to leave that market and only offer group plans. This means that in addition to paying less each month when on a group plan, an employer also has more carriers to choose from that are competing for business. More competition will result in even lower prices. If you are an employer and want to start a group plan or would like to shop for different carriers, our office can generate group health insurance quotes for every carrier within hours of receiving an employee census.
There are other differences between these plans that are not in this article. If you would like to know more or would like to start a group medical insurance plan or an individual and family plan, then please call our office at 775-828-1216. As your health insurance broker, we can provide you with all the information and help you will need for no extra cost for our services.