Long Term Solutions

Trending factors today indicate that health and dental costs are averaging increases of 6% - 12%. Add to that increased utilization, inflation, increases in the dental fee guide and government downloading. As a result companies are facing ever-increasing premium costs for health and dental plans. 

A.S.O. ADMINISTRATION SERVICES ONLY

 "Self-Funded" Plans:

• Administration costs are reduced considerably in some cases as much as 10%
• Reserve accounts are no longer necessary and are eliminated yielding further reductions of 8%-20%.
• Projected Inflation and projected utilization charges typically between 10%-17% are  eliminated.

Traditional Plans Restrict Access

In traditional plans, access to drugs, health and dental services are restricted in order to contain cost and prevent profit erosion. Projections for utilization and inflation are high to ensure profit projections are met. 

In self-funded programs the same restrictions actually control the cost of a self-directed plan and ensure your budget targets are met.

In Traditional Plans  $1.00 in claims becomes $1.70 (or more) to reflect the carrier's cost for administration, inflation, commission, reserves and profit. The efficiency of the carrier you choose will determine your renewal premium.

Ineffective administration systems, overhead costs, outdated technology and shareholder profit demands are just a few of the cost drivers affecting premium plans today.

 Click to enlarge

This graph demonstrates the reduction in cost realized year after year, when you budget for "Routine" claims. The result, maintaining your plan benefits while reducing benefit costs.                            

Group Benefits Unlimited  will provide you with a complete group proposal, a detailed claims audit and our 3-year rate tender guarantee.

Try Our Instant Illustrator to determine how a GBU self-funded plan will benefit you today!