Zane Benefits Publishes New Information On How Group Health Insurance is Broken

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Group health insurance is broken, and is a big part of the healthcare problem.

Today, Zane Benefits, the number one online small business health benefits solution, published new information on how group health insurance is broken.

According to Zane Benefits’ website, Obamacare is killing traditional group health insurance. And as Paul Howard stated in a recent Forbes article, that’s probably a good thing. Why? Group health insurance is a BIG part of the healthcare problem.

Group health insurance is broken because you have an employer picking a one-size-fits-all group health insurance plan for employees. Employees have NO idea what their health insurance plan is or what it covers. As a result, most employees are scared of health insurance, and don't understand the basics about their coverage. The biggest symptom that our current, employer-based system is broken is the cost.

The average cost to cover an employee with group health insurance has increased from $2,196/year in 1999 to $5,884/year in 2013. For family coverage, the cost has increased from $5,791/year in 1999 to $16,351/year in 2013. This is not sustainable for employers nor for employees.

To deal with these increasing costs, employers have already starting shifting their employee health benefits to consumer-driven and defined contribution models. A "pure" defined contribution strategy offers a solution to the employer-model that is broken. With "pure" defined contribution, the employees:

Pick the plan that best fits their needs, including the doctor

Keep their plan for as long as they want

Save money with new health care subsidies

Employers continue to offer a health benefits program that creates happy, loyal employees.

Click here to read the full article.

About Zane Benefits
Zane Benefits was founded in 2006 to provide a revolutionized SaaS (Software-as-a-Service) administration platform ("ZaneHRA") for defined contribution health care. The flagship software provides a 100% paperless administration experience to small businesses and insurance professionals that want to offer better health benefits without a traditional group health insurance plan at lower costs. For more information about Zane Benefits, visit

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Christina Merhar
Zane Benefits
800-391-9209 6725
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