Superior Benefit Strategies

• Tax savings from using qualified medical plan design choices
• Tax savings from installing a Section 125 Premium-Only Plan
• Tax savings from using a Flexible Spending Account
• Tax savings from using a Dependent Care Account
• Tax savings from using a Health Savings Account
• Tax savings by redirecting Disability premiums through payroll to a “GROSS UP” model   
• Tax savings from contributing to a Retirement Account

The “GAP” or Medical Expense Reimbursement Plan (MERP) concept involves significant premium savings created through using a high deductible plan coupled with a secondary insurance plan to fill that gap/difference (created by the new higher deductible).  The end result is a similar or even higher benefit plan design with a 20%-25% premium savings.

Level-Funded insurance is a strategy that allows a healthier group of employees to save premium by going through a medical review process.  If it’s favorable, Level-Funded rates will typically save 15%-30% over traditional Fully-Insured plan options which are rated strictly on employee demographics.

At renewal, having legitimate competitor quotes offering comparable savings, is the best negotiation tool to use in order to drive down your current carrier renewal offer.  Our automated  multi-market quoting and negotiation process saves our clients typically 5% to 10% off of their annual renewal “increase percentages.”

Sometimes Employers offer plan designs without much thought to claims utilization by their employees and dependents. High-level coverage (low co-pays/low deductibles) comes at a higher cost for Employers and Employees whether or not the benefits are been used.  Wouldn’t it make sense to tailor at least one plan (and price-point) option towards what the majority of the group should consider as utilizers?

Group-sponsored premiums (100% paid by the Employer) for Short-Term and Long-Term Disability plans can be structured by “grossing-up” Employee wages, and in doing so, make any Disability benefit paid TAX-FREE to the Employee.  That’s right…No W-2 to file for the Disability benefits paid!

There are two IRS penalties applicable to Large Employers:  

PENALTY A: Employers must offer at least Minimum Essential Coverage (MEC) to eligible employees.  Non-Compliance in 2022 could result in a penalty of $2,750 per Employee.

PENALTY B: Employers must offer a Minimum Value (MV) plan that meets 60% actuarial value (including inpatient hospital services).  MV plans must be offered within affordability guidelines (a maximum Employee contribution of 9.61%) with Employers responsible for paying the balance.  Non-compliance in 2022 could result in a penalty of $4,120 per Employee who enrolls in coverage through the Healthcare Exchange and receives a premium tax credit.

The cost savings of engaging a MEC plan are enormous by trading tax-deductible premiums for non-deductible IRS penalties!

NBI has carrier market strategies that target low participation issues by offering solutions that have no participation requirements. Many Employers want to offer insurance, but cannot afford to contribute the majority of premium just to meet the carrier enrollment participation thresholds. There are new cost-saving market strategies that offer comprehensive coverage to employees without the pressure of enrollment participation requirements.

This sounds simple, but many times the strategy involved = thinking!  Dual-option Dental plans provide TWO price point choices (one higher; one lower) that target different Dental plan utilizer patterns.  Offer a high-level Dental plan (including Major procedures) alongside a basic-level Dental plan that only covers Preventive and Basic procedures (with no Major services covered). It is logical to have a lower-cost option available because many of your Employees foresee only using their Dental plan for Cleanings and Basic treatment, and see no reason to pay extra premiums for Major coverage they will not use.

Some Employers have expressed that some Employees feel that Dental insurance isn’t “real” insurance because the benefit maxes out at $1,000 or $1,500 per year.  NBI offers Dental plan options with higher annual benefit limits, including UNLIMITED! These superior Dental plans can also be offered as a dual-option with a significantly lower-cost Dental plan, allowing Employees to make the best choice (price & benefits) based on their individual needs. 

Every comprehensive medical carrier, covers medical transport through “non-contracted” means.  Many medical plans look at medical transport as an out-of-network claim meaning significantly higher deductibles & out-of-pocket maximums, then a “usual and customary” cost adjustment is applied to that bill, leaving the Claimant (Employee) with a significant amount due, after the medical insurance plan paid its part.  NBI offers a solution…voluntary or Employer-paid for Employees that cover 100% of medical transport GAP!  If medical transport was billed by air ambulance, the GAP due that claimant could be thousands—literally $30K, $40K, or even higher!

Yes, there is a benefit strategy for your retired employee class that NBI can introduce, which will improve coverage and simultaneously save retired employees on Medicare primary coverage premiums. There are many benefits for Employers to sponsor GROUP MEDICARE, and these plans can even be structured as 100% voluntary, so Employers aren’t required to contribute to retired employee premiums.  Let NBI show you how this would improve the coverage choices for your retired class employees.

Yes, this buying power multi-employer strategy is done through a “CAPTIVE” insurance arrangement.  Allow NBI to show you a captive proposal, to see if the law of LARGE NUMBERS can provide stop-loss insurance at below market price standards, and work to save you those premium dollars!