Member Benefit: Association Health Plan
Harnessing the power of a group to save you money
What makes the GHBA medical plan so price competitive compared to the other options in the market, and how does it work?
The simple answer lies in its status as a “Bona Fide Association” plan. There are many associations out there that claim to have association plans but they are really just glorified enrollment systems that provide little to no benefit at all to member companies.
The GHBA is a Bona Fide Association which allows companies to be underwritten outside of “community rating” and off the exchange. This means that GHBA rates are determined by claims experience reports or the health status of employees. These reports and health statements are reviewed by an actuarial firm to scale each potential member company up or down on a premium grid.
The program rates average 20 to 30 percent lower than the same plan in the regular market, and there are substantial savings even for very large companies.
There are currently more than 100 companies under the program ranging in size from two to more than 300 employees. The current monthly premium generated by the program is over 1.3 million and there are over 6,000 individuals covered.
The association plan is administered under one contract with nine plan options: five PPOs, three HSAs and one HMO. You can offer as many of these plans as options to your employees as you want.
In addition to the underwriting advantage, the program is written as one large group and therefore benefits from price advantages because of its size. The size and favorable loss ratio of the program are very beneficial for companies on the renewal. Instead of moving every year or two, it can provide you a low cost, high quality and long term solution to your company’s healthcare needs.
The Stevenson Group/OneDigital also handles a significant amount of the administrative duties, including:
- Addition of new employees to your plan(s)
- Termination of employees off your plan(s)
- Cobra administration for all of your plans at no cost tyou
- Billing issues (we handle all billing for each company so problems are quickly resolved)
- Claims adjudication
- Compliance issues
- And so much more
We price all of the carriers in the market on a daily basis, and if you qualify through our underwriting, there is probably not going to be a better place for your company’s insurance from a cost and quality stand point.