Group health insurance is one of the most valued benefits a business can offer its employees. Providing access to quality health coverage helps attract and retain talented employees, can improve productivity, and may offer tax advantages to both employers and employees.
At Term Insurance Brokers, we work with employers of all sizes to find group health plans that balance comprehensive coverage with manageable costs. Because group health insurance involves many variables specific to your business and workforce, quotes are customized — call us at 1-888-972-0024 or send us an e-mail to get started.
Types of Group Health Plans
Fully-Insured Plans
The traditional group health insurance model — the employer pays premiums to an insurance carrier, and the carrier assumes all financial risk. Premiums are fixed for the plan year, making costs predictable. Fully-insured plans are subject to state insurance regulations and must comply with Affordable Care Act requirements.
Self-Funded (Self-Insured) Plans
Rather than paying a fixed premium to an insurance carrier, the employer directly funds employee health claims. The employer typically contracts with a Third-Party Administrator (TPA) to process claims and may purchase stop-loss insurance to cap exposure on large individual claims. Self-funded plans offer greater flexibility and transparency but require the employer to assume more financial risk. They are more common among larger employers.
Level-Funded Plans
A hybrid between fully-insured and self-funded, level-funded plans allow employers to pay a fixed monthly amount that covers expected claims, administrative costs, and stop-loss insurance. If claims come in under projections, the employer may receive a refund at year-end. Level-funded plans offer small and mid-sized businesses many of the cost advantages of self-funding with more predictable monthly expenses.
Health Maintenance Organization (HMO)
HMO plans require employees to select a primary care physician (PCP) and obtain referrals to see specialists. Care is generally limited to providers within the plan’s network, which helps keep costs lower. HMOs typically have lower premiums and out-of-pocket costs but less flexibility in choosing providers.
Preferred Provider Organization (PPO)
PPO plans offer more flexibility — employees can see any doctor or specialist without a referral, both in-network and out-of-network (though out-of-network care costs more). PPOs are popular among employees who want freedom of choice in their healthcare providers. Premiums are generally higher than HMOs.
High-Deductible Health Plans (HDHPs)
HDHPs feature lower monthly premiums paired with higher deductibles. They are often paired with a Health Savings Account (HSA), allowing employees to set aside pre-tax dollars for eligible medical expenses. HDHPs can significantly reduce employer premium costs and give employees more control over their healthcare spending.
Health Savings Account (HSA)-Compatible Plans
When paired with a qualifying HDHP, an HSA allows both employers and employees to contribute pre-tax dollars to an account the employee can use to pay for qualified medical expenses. HSA funds roll over year to year and are portable if the employee changes jobs, making them a highly valued benefit.
Information to Have Ready for a Group Health Quote
To prepare a group health insurance quote, we’ll typically need the following:
- Business name, address, and zip code — plan availability varies by location
- Number of eligible employees and whether dependents will also be covered
- Employee census data — typically names, dates of birth, gender, zip code, and whether they are enrolling with or without dependents
- Current coverage details — carrier, plan type, and current premiums if replacing an existing plan
- Desired effective date for the new coverage
- Employer contribution amount or percentage — how much the employer intends to contribute toward employee (and dependent) premiums
- Industry / SIC code — used by some carriers in rating
- Business ownership structure — sole proprietor, partnership, S-corp, C-corp, etc., as this can affect eligibility and plan options
The more complete your census and business information, the faster we can turn around accurate quotes from multiple carriers.
To request a group health insurance quote or learn more about your options, call us at 1-888-972-0024 or send us an e-mail anytime.