New Guidelines on Employee Benefits and Wellness
Planning employee benefits just got a lot more complicated. The advisors at Schulman Insurance Brokerage continue to stay abreast of how new regulations will affect Employee Benefit solutions. Assessment of your group’s needs, their health and their wellness practices will become ever more present in your business’ bottom line.
In 2014, the Department of Human Health and Services (HHS), Department of Labor (DOL) and Internal Revenue Service (IRS) framework for regulations and healthcare reforms will go into effect. While the rules adopted into each reform will vary state to state, these new regulations within the insurance markets will have the most impact on individuals and small businesses.
Health insurance companies will be prohibited from denying coverage to persons with pre-existing or chronic conditions. However, insurance companies will be able to leverage this change through limited but varied premiums that may include higher premiums based on individual health practices and attributes including tobacco use, family size, age and geography.
By 2014, a reprieve in the form of rewards programs may be offered by insurance carriers. These rewards programs provide businesses with savings based on individual members’ involvement in wellness programs or those who pass health-contingent programs. Savings are estimated between 20% to as much as 50% for tobacco prevention programs, per individual.