For those businesses that carry Group Health Insurance in Michigan, you have seen some big rate increases every year at renewal. Michigan companies have struggled to keep up with the rising cost of health care for their employees. Many times a company will pass more of the cost on to their employees. Also and maybe a more common method to reduce costs is drastically changing the coverage of the Group Health Insurance. One method is to increase deductibles to $1.000 or as high as $5,000. In addition to deductible increases they may have taken away coverage for prescription drugs and office visits. I have sat down with many companies to come up with a strategy for both keeping the Group Health Insurance affordable and maintain quality coverage. Some times we can simply keep the same type of coverage but just switch Group Health Insurance companies. Although this isn’t always a successful way to cut costs, often times we can get a 10-20% reduction. But many times the employees and the employer really want to keep their existing company. This is where we really have to dig in and re-quote options and get creative to find a solution. This used to be a very difficult task until recently. I came across a form of additional coverage that can be purchased as a Group Medical Gap coverage that can coordinate with a high deductible Group Health Insurance plan. The industry refers to this type of Group Benefit as Group Medical Gap Insurance coverage. It works very nicely when coordinated with a high deductible Group Health Insurance plan. I have seen companies save over $1,000 per employee per year using this method. How it works is the Medical Gap Insurance pay most co-pays and deductibles up to the plans deductible. At that point the Group Medical Insurance policy starts to pay the bills. When I first heard of the idea I thought it may have a place in certain situations. Then I started quoted it on every proposal I came across and found that it works almost every time to save a company money while maintaining excellent coverage and keeping the existing Group Health Insurance company. This coverage is appearing to become very popular. The interesting thing is that Health Insurance Brokers have not been offering this type of coverage at renewal. It is such a powerful concept that they will begin losing clients to other Health Insurance Brokers knocking on their doors to show them a creative and excellent option that can not only save the company money but actually improve their Michigan Group Health Insurance coverage. Your company may be in this situation. Ask your Health Insurance Broker to show you an option with Medical Gap Insurance.
If you would like us to look at your Group Health Insurance, please don’t hesitate to give us a call at (248) 581-0331. Or email Bryan Cranson at firstname.lastname@example.org