Group Health Insurance

You are interested in setting up a group health plan and benefits for your company.  There are a few things to know before you start the process, but overall the group benefits are not difficult to get established.  We would always recommend you work with an agent to get these in place.

The Basics : You only need a minimum of two people to start a group health insurance plan.  If you have more than two employee’s you will need to have 75% participation from your full time (over 30-hours/week) employee’s to be considered.  Employee’s with other group coverage through their spouse will not be counted as eligible employee’s in your 75% numbers.

The Costs for the Employer : As the employer you will be responsible to pay a minimum of 50% of the employee’s portion of the health insurance premium.   Typically, we see premiums range from $150-$300 depending on your group age and plan chosen.  This will allow you to understand the financial impact for adding the group plan to your company.

Company Documentation Required : You will need to be able to prove you are a company with employee’s.  Below is an example of some of the information the carriers will look for.  Each insurance carrier has slightly different requirements.

  • Payroll records, or copies of the W4’s if they are employed less than 30 days
  • Proof of business: Articles of Inc., Partnership documents, Certificate of Formation, Articles of Organization, etc
  • Check that is paid from the Company Bank Account with the company name

How to get a quote from a broker?

You will need to provide a census for all your companies members looking to obtain coverage.  Provide your company name, company zip code, type of business or SIC code, number of eligible employee’s.   We will need a list that includes the employee’s home zip code, age, sex for all employee’s, spouse and children looking to be included for coverage.  This will allow us to generate quotes from our group health carriers for you to consider.  We can include dental, life, long and short term disability if you are interested.  This quote will give you an idea of the premiums and benefits offered for your group.  The quotes usually include a best and worst case rates just to let you know the premium range.  Each group is underwritten with your groups medical history and ages to determine the rates.

Next Steps : You have chosen the plan you would like to move forward with. The broker will walk you through the process.  How long does it take to get in place?  We like to have enough time to get ID cards to you by the time the policy is in force.  If we can get the paperwork for the employer and employee’s and all required documentation 20-days before the effective date.   We will need to provide a check along with the forms to get the file processed.  If the premiums do change, they will bill you for the difference.

Contact us today if you would like to discuss more about your group or if you are ready to get a quote.  We can help with existing group changes to a new carrier with the same process.  We look forward to helping you protect your employees with group benefits.