Recently, Professional Insurance Programs (PIP) was referred to a practice for employee benefits. They were connected to a very large employer group which was offering a suite of benefits to their staff including health insurance, vision insurance, life/AD&D insurance and short-term and long-term disability. The practice was losing their connection to the large employer group and could no longer stay on their employee benefits program. They were very concerned about being able to offer matching employee benefits to their staff.
We often times think that large employer groups have access to benefits that small employer groups do not; or that they may be unaffordable to obtain.This is not the case. PIP has access to many insurance carriers including ancillary carriers that specialize in small business packages. These ancillary carriers recognize the need for small employers to have access to benefits other than just health insurance. Ancillary benefits such as life and disability insurance are a nice way to provide benefits to your employees when health insurance may not be an option. Here is a brief breakdown of the ancillary benefits the practice was able to obtain and their monthly premiums:
| Basic Term Life/AD&D | 1 x salary benefit | $131.52 per month |
| Short-Term Disability | 60% of salary up to a $1,000 weekly benefit maximum | $83.86 per month |
| Long-Term Disability | 60% of salary up to a $6,000 weekly benefit maximum | $130.52 per month |
These premiums above are based on the clinic contributing 100% towards the costs of the monthly premiums for their staff. Voluntary benefits are available but usually require a minimum of 5 or 10 employees to be eligible. With premiums this inexpensive, it is easy to see why the employer decided to pay 100% of the premiums.
The practice also elected health insurance for their employees and contributed 50% towards the monthly premiums. We were able to keep the monthly premiums at an affordable level by implementing a High Deductible Health Plan (HDHP) that is a HSA – Healthcare Savings Account eligible. HSA’s are a special tax-exempt account an individual owns and establishes to accumulate funds to pay for qualified medical expenses. HSA’s are used in conjunction with HDHP’s offered by many insurance companies.
Whether you are interested in health insurance plans or ancillary benefits, PIP can help. Contact us at 800-637-4676 or [email protected]. One of our exceptional Account Managers would welcome your call.
