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Issue: # 116
<August 8, 2014
  
 
Click on Picture to Watch Julian Edelman and the Ice Bucket Challenge

Dear  :     

 



You have probably seen the Ice Bucket Challenge many times by now.   We just want to take a moment to remind everyone why it is being done. 

About ten years ago we had the pleasure to meet Peter Frates when he was a salesman for Sun Life servicing our agency.   He was fresh out of Boston College, just returned from a year (or two) playing professional baseball in Europe and was starting his business career.   He ended up changing territories and we lost track of him until we read a column in Boston Herald a couple years ago a story about him at Red Sox Spring Training battling ALS. 

Truly amazing what he has been able to accomplish, what an inspiration!!  So after the 1000th time you see the Ice Bucket Challenge and never what to see it again, remember why is is being done.  To Strike out ALS.
 
Click on picture for video

As always, if you need any help with your benefits send us an e-mail.     
Check out the paragraph below on Blue Cross Blue Shields new stand alone Vision Plan.
Prices are affordable, rich benefits and premiums can be withheld on a Pre-tax basis.

Thanks,


Bill Randell CLU ChFC
Vanessa Costs CLU ChFC 
Blue Cross New Vision Plan
 

Blue Cross Blue Shield has recently announced a new stand alone vision plan called Blue20/20. They have partnered with Eye Med, the nations leader in vision eye care providers. This plan includes the larger providers such as LensCrafters, Pearle Vision, Target Optical, JCPenney Optical, Sears Optical, and it also includes your local family owned, private eye doctors.

 

Coverage includes allowances up to a maximum of $ 150 for frames and contact lenses. There are copay options for Standard plastic lenses and lens options such as tinting, bifocal, trifocal and anti reflective coatings. Comprehensive Eye Exams on an annual basis may be included as well.

Check out sample monthly premiums:

  

Single                                      7.11

Employee & Spouse            14.22

Employee & Children           13.51

Family                                    20.91

 

Yes, those are MONTHLY PREMIUMS.

 

Benefits for your employees is always a challenge.  This is a benefit you can offer that will help most families on an affordable basis.  Remember, pre-tax premiums helps both employees pay for the benefit, but also saves money to the employer by reducing the matching FICA obligation.

 

Participation in the program is quite reasonable - 25%, and this is available for small groups down to a minimum of 2 employees!

 

For more detailed info just email us today!

Partners Hospital Expansion

Great article in the Boston Globe regarding Partners Plans to buy South Shore Hopsital and Hallmark Health Systems.    We remember in Worcester when there were 5-10 different owners of hospitals now there are mainly just two.

The only way to actually control premium is to either reduce claims or reduce costs. With less and less hospital competition, what negotiating power do health insurance companies have when they negotiate with a company that controls all the hospitals?  

Bottom line as the Commonwealth has fewer owners of hospitals, this only puts an upward pressure on costs and thereby your premiums.  
Medical Loss Ratio Refunds

 

In 2006 Massachusetts passed HealthCare Reform and the individual market was merged with the 2-50 markets, the Medical Loss Ratio was then created.  This ratio under state law requires health insurance plans to spend a set percentage of the premium dollars collected  on medical care and health care quality improvements.   In Massachusetts for the under 51 marketplace, that percentage is 90%.

By June 30th, insurance carriers have to calculate their percentage for the prior year.  If they are under the 90% they must issue refunds back to clients by August 1st.  Here are the results for last year:
  • Fallon: refund
  • Tufts: refund
  • Neighborhood:  refund
  • Blue Cross: no refund
  • Harvard: no refund 

 

Boston Globe story.   

Can An Employee Drop A Spouse From Their Plan?

This week we received a call from a client., who had an employee that was getting a divorce from their spouse.  The employee wanted the spouse removed from their plan immediately. 

Can the employer do this without the spouse's consent?

Yes, the employee can since they are the subscriber , and ultimately decides what dependents participate under their coverage. Although it was pointed out this would save no money, since she needed the family plan for her children, the employee still wanted the spouse removed.

The change was processed and the employee was told:
  1. The spouse will get a letter from the health insurance company that coverage has been terminated.
  2. The spouse would not be able to get back on the plan until the next open enrollment.
  3. The spouse is eligible for Cobra.
We suggested that the employee seek legal advice while going through this divorce process.
But, if a request is made to remove a dependent the carrier will honor that request.  They do not police this process.
ObamaCare Mandate Starts 2015 For 100 Employee Employers

Quick reminder, ObamaCare starts next year for employers for 100 or more employees.  In 2016, it will drop to 50 or more employees.   We will not be surprised if this changes.    Great summary from CNBC with video.