Park City, Utah (PRWEB) March 06, 2013
Today, Zane Benefits, Inc. published new information on small business health insurance alternatives. Zane Benefits, which provides comprehensive and flexible alternatives to traditional employer sponsored health benefits, is the leader in defined contribution and health reimbursement arrangements.
According to Zane Benefits’ website, as small business health insurance costs continue to rise, employers are looking for ways to offer health benefits at a lower price. An online alternative, often referred to as a defined contribution health plan, allows an employer to name its price. Rather than paying the costs to provide a specific small business health plan (a "defined benefit"), employers instead fix their costs by establishing a monthly dollar amount (a “defined contribution”) that employees choose how to spend.
Overview of Small Business Health Insurance
According to Zane Benefits’ website, small business health insurance plans are a form of employer-sponsored health coverage. Costs are typically shared between the employer and the employee, and coverage may also be extended to dependents. In certain states, self-employed persons without other employees may qualify for group health insurance plans. There are several different types of small business health insurance plans available.
According to Zane Benefits’ website, however, many small businesses can’t offer small business health insurance coverage due to rising costs and restrictive minimum contribution and participation requirements.
Why Small Businesses Should Switch to Online Defined Contribution Health Insurance Plans
According to Zane Benefits’ website, businesses typically buy small business health insurance on an annual cycle and spend tremendous amounts of time each year evaluating the features of the various plans offered—time that should be spent on improving products or servicing customers.
As health care reform phases in, almost every employer should simply cancel its group health plan and allow employees to use pre-tax funds to buy their own individual policies. This is especially true in the small employer group market where several insurance companies have strategically chosen to exit the small group market and increase sales in the individual market.
What most business people don't realize is that the 2010 federal health care reform has standardized most health benefit plans—all U.S. individual policies now have no lifetime limits on coverage, pay 100% of the cost of preventative care, cover adult children up to age 27, and now guarantee coverage to dependents under age 18 with no extra charges for pre-existing conditions. In 2014, insurance companies will no longer be able to decline individuals for individual health insurance based on a pre-existing medical condition.
About Zane Benefits
Zane Benefits was founded in 2006 to provide a revolutionized SaaS (Software-as-a-Service) administration platform ("ZaneHRA") for Health Reimbursement Arrangements (HRAs) and defined contribution health care. The flagship software provides a 100% paperless administration experience to employers and insurance professionals that want to offer better health benefits without a traditional group health insurance plan at lower costs. For more information about ZaneHRA, visit http://www.zanebenefits.com.