Strategies for Lowering Healthcare Costs

11/22/2016 Brooke Thomas

Let’s face it, overseeing a business’s healthcare insurance is not easy. And with the recent announcements of healthcare costs going up, business owners have to start thinking strategically in order to keep the costs of insurance plans at a minimum.

Melanie Capps, our HR expert here at Marine Bank, offers some useful strategies for businesses to manage the anticipated rising costs of healthcare in Illinois starting in 2017:

1. Make sure you review your plan with vendors regularly. When was the last time you looked over your company’s benefits?

2. Negotiate your plans annually with vendors and expect to shop around and compare benefits of different plans and insurance providers.

3. Increase the deductible and out of pocket expense limit.

4. Evaluate the premium share for spouse and family coverage. Have your business pay for 80% of employee coverage and 40% of spouse or family coverage.

5. Narrow your network of preferred providers.

6. Are some of the benefits with the plan not being utilized? Offer vision, dental and life insurance to employees as coverage, but make sure 100% of the premium is paid for by the employee.

7. Communicate with your employees. Ensure staff has access to the list of benefits by posting on the company intranet and/or sending out annual emails.

8. Offer a Health Savings Accounts to employees with employer contributions – employees must have a high deductible plan to participate. They can save the money for health related expenses or use it for reoccurring expenses throughout the year.

9. Offer company-wide wellness incentives and programs. Here are 121 great ideas to get started.

Ready or not, 2017 is coming up fast. Naturally, a plan will vary for each business but develop one that will benefit your employees without breaking the bank.

Written By: Brooke Thomas