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WHY SELF-FUND

Employers Can Control Healthcare Costs by Sharing Risk

The Brutal Reality of Healthcare in America

America’s healthcare system is in crisis. The cost of healthcare has become unsustainable – and the problem is only getting worse.

Healthcare is now a top business expense, second only to payroll. In the last decade alone, it has increased a whopping 150%, according to a Mercer survey.

Worse, the cost of healthcare is projected to DOUBLE in the next 4 years. Employers are at a crossroads – many worry if they can continue without being forced to layoff staff.

It’s not just employers who pay more – your employees pay more too. And that means increased employee dissatisfaction and higher turnover, as employee raises get eaten up by higher insurance costs.

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You pay more – but you’re satisfied less.

What kind of a raw deal is that? Most employees are unhappy with their healthcare. In the last 10 years, employee contributions for family coverage have risen 40%. The average deductible is $3,700. About 40% of employees can’t afford a $400 unexpected business expense.

 

Employees are frustrated:

  • There’s a disconnect between cost and quality.
  • They have no easy way to find the best doctors and hospitals.
  • The medical system is impossible to navigate.

 

Nobody’s happy – everyone’s concerned.

Better Benefits Make Happy Employees Who Stay and Succeed

Employees who are satisfied with their healthcare are twice as likely to stay on the team. 81% of employees who are satisfied with their healthcare say they’ll stay, compared to 43% of employees generally, according to a 2022 LIMRA BEAT survey. Employee turnover costs American businesses $1 trillion every year.

 

Great healthcare improves retention and lowers employee turnover, saving company hundreds of thousands of dollars every year.

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So, why aren’t we doing anything about it?

Many employers feel stuck.

The system seems too complex.

Companies lack data to compare options.

There is a deliberate lack of transparency.

Employers are forced to focus on the short-term crisis.

Small to midsize firms feel they lack scale or the power to negotiate.

Misaligned incentives – traditional insurance companies increase costs to increase profit, at your expense.

Traditional insurance companies don’t represent employers’ best interests.

Worse, the system doesn’t want you to change.

The Solution: Employers Can Control
Healthcare Costs by Sharing Risk

The Solution: Employers Can Control Healthcare Costs by Sharing Risk

Instead of the old model:

Employers can opt for a new and better alternative:

Self-Funding in a Group Medical Captive:

Employers can opt for a new and better alternative: Self-Funding in a Group Medical Captive:

High premiums

100% fixed cost regardless of healthcare used

No control over planned design

Pay only for the healthcare used – pay what you deserve.

Leverage high control over benefit design – custom your plan to your employees needs.

Gain data insight to lower costs and increase savings and quality.

Instead of the old model:

High premiums

100% fixed cost regardless of healthcare used

No control over planned design

Employers can opt for a new and better alternative: Self-Funding in a Group Medical Captive:

Pay only for the healthcare used – pay what you deserve.

Leverage high control over benefit design – custom your plan to your employees needs.

Gain data insight to lower costs and increase savings and quality.

See How the Solution Works