Things to consider
Not all plans are created equal. Depending on the size of a company, the terms of the contract can vary. It’s important to understand how individual plans will be impacted depending on the size of the business. With any self-funded plan, small to medium-sized businesses often benefit the most. In fact, “many level funding plans restrict their offerings to companies with a certain minimum or maximum number of employees, which may affect your ability to contract with your desired carrier.”
Is level funding right for your business?
As with most business solutions, it depends. There are four key components that should be considered when evaluating health-care plans: cash flow, risk tolerance, employee numbers and preferred budget methods.
With rising health insurance costs, successful employee wellness programs are also critical when considering health-care plan design. While wellness solutions sometimes add an additional cost, this is easily offset by the decreases in overall medical costs from employee claims as well as an increase in employee retention, productivity, and increased job satisfaction. Keep in mind, one of the biggest benefits of any self-funded plan is the opportunity to be refunded at the end of the year. If employees are healthier and produce fewer claims, there is a greater opportunity to be refunded and experience cost savings.
Check out the 12 requirements for successful employee wellness programs below to learn how to build an engaging and impactful corporate wellness program.