Affordable Health Coverage For Arizona Businesses
When offering benefits to staff there are a lot of variables to consider and it's easy to get “lost in the sauce” that said we are here to help! Here is a quick guide to the AZ Health Insurance Benefits
From a cost perspective, health insurance is all about economies of scale e.g., the larger the pool of insured members, the more attractive the pool becomes to an insurance provider. Generally speaking, this is the case but there are other factors that come into play such as preexisting conditions, the average age of participating members, RX, past utilization, etc. Not only do the rates vary based on size but the deployment strategy will also vary based on size!
For employers with 2-4 enrolling staff “Community rating” is likely the only option.
• Community Rating: Rates are only based on age and county. Health, pre-existing conditions, etc. are not a factor. Only available for employers with fewer than 50 full-time staff.
For employers with 5-9 enrolling staff, underwritten strategies become an available option; community rating is also still an option. However, in order to explore underwritten strategies at this size, health apps will be required for all staff.
• Underwritten rates are when the insurance provider peers into the health of the group (there are a variety of ways carriers can do this) and offer a quote based on the anticipated risk of the group as a whole.
For employers with 10+ enrolling staff, underwritten strategies become an available option; community rating is also still an option. However, in order to explore underwritten strategies, individual health applications may be required, depending on the number of enrolled employees and the insurance provider.
For employers with 51+ eligible staff, community rating is no longer an option; all insurance strategies are now underwritten. Community rating is no longer an option; all insurance strategies are now underwritten. Those underwritten plan designs can be rolled out via either a level-funded design, fully insured design, or partial self-funding design. This is a discussion.
The discussion of group health insurance is wide and deep consisting of; contribution strategies, company culture, plan designs, networks, co-pays, carrier fitment, tax ramifications, FSA, HRA, HSA, and more. We encourage you to reach out and have a discussion with us as most employers’ needs vary on a case-by-case basis!
Offering ancillary coverages such as dental, vision, life insurance, disability, accident, critical illness and more is a great way to add value to a benefits package. An employer can choose to offer benefits like these on a “voluntary” or “employer-sponsored” basis.
Voluntary – employee pays 100% of the premiums
Employer-Sponsored – Employer pays 50% - 100% of the premium
Choosing to offer Ancillary coverage on a voluntary or employer-sponsored basis is a discussion and will vary based on industry, employee comp, growth trajectory, leadership philosophy, and more. However, at least offering some of these benefits on a voluntary basis makes a lot of sense as it is a free retention aid as offering on a voluntary basis does not cost the employer a dime!
The Affordable Care Act has changed the way businesses are required to offer benefits to employees. Kelly & Calloway Insurance Group can help you navigate the ACA and discover specific coverage requirements for your business.
Family & Individual
We work with dozens of family health insurance providers in Arizona. As the local specialists, Kelly & Calloway Insurance Group can assist you in finding the insurance plan that best fits your individual and family healthcare needs.
Senior citizens have different health care needs than non-senior citizens. Kelly & Calloway Insurance Group understands the challenges and can help ensure every plan covers all potential health scenarios a senior citizen might face.
Discover affordable Arizona health insurance coverage today.
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