benefit management

Effects of private exchange plans on employers

With firms of more than 50 employees required to offer workers health insurance, there are a growing number of companies turning to private exchanges for a potentially wider range of health care choices. banner-img-7An estimated three million people received employer health benefits through a private exchange, according to a 2014 report by consulting firm Accenture. This trend is expected to continue.

Those who favor the private marketplace believe these plans give employees a better selection of choices that meet their needs both personally and financially. And these plans are much easier to review and respond to with the advent of today’s technology.

Also, respected benefit management companies offer a wide range of plans designed to meet everyone’s budget. These include lower premium plans with high deductibles, as well as comprehensive plans that carry high premiums.

With mandatory employee plans comes mandatory reporting, with employers required to keep track of their employees’ benefit plans on a monthly basis. Heavy fines and other penalties can occur if these reporting functions don’t work properly. It is a time- and labor-intensive function that many employers don’t take into consideration when reviewing corporate benefit management commitments.

If you would like more information on private exchange plans, or would like to know about other strategic insurance solutions, call at 847.307.6100 and speak to a professional at The Plexus Groupe, or visit us on the web at www.plexusgroupe.com.