Here are two tips that strategic advisors are finding useful for keeping their clients' health plan prices low enough so most employees can afford to participate.

Split the plan into two parts and allow them to be purchased separately so every employee has an affordable choice (or even free in many cases). The first part should cover everyday services most users need, like primary care (virtual-first and in-office hybrid), labs, x-rays, generic Rx, annual physicals, well-baby checks, and chiropractic. These are quite inexpensive and can be given to every employee with no copay and little effect on plan costs. The second part is for the traditionally expensive specialists, advanced imaging, and hospital services. Separate these parts and participation will go up.
Remove the extremely expensive (but rare) services from the primary health plan and have them covered another way. Inclusion of dialysis, specialty Rx, skilled nursing and organ transplants in a health plan will subject it to a lot of uncertain risk, so take them out of the primary plan and find another way to pay for these items when they are needed. Advisors who successfully make these changes are using supplemental plans or self-administered health reimbursement arrangements (HRAs) to cover these expenses.

Get bang for the buck

First, you've helped your client free up funds spent on recruiting and turnover, and you've also structured their plan for low prices every employee can afford so participation can be high. Now is the time to guide them to the employer contribution strategy that will benefit them most. It starts with the mindset that believes each dollar an employer contributes should create value for the business, not just become an expense. Employers get this, even if they can't believe it yet.

Instant Insights /

Benefits are an investment, not an expense

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