For this post, we are featuring the wisdom of one of our loyal S&K friends and clients, Bill Schmidt from Integrated Insurance Solutions, Inc. in Ashburn, VA. Bill is an expert on health insurance for small businesses, and the following is his insight on finding affordable health insurance for your business.

While the price of health insurance seems to rise each year, our clients continually ask us what other options are available.  The current market for traditional insurance has no flexibility and the plan benefits keep getting worse, while the prices goes up.

Are your employees’ medicals claims low?  If so, would you like to pay premiums based on your low claims instead of subsidizing other groups’ higher claims?

If so, there is an option for you.  It is the only option that I have seen in my 25+ years in the industry.  More and more of our clients are moving to this option and saving much more than the current traditional market.  It is making such an impact, that even the traditional insurance companies like Aetna, United Healthcare and Blue Cross/Blue Shield have begun offering a similar version to retain their clients.

What is this option?
It is called the Self-Funded Option.  Once we explain to clients that it works similarly to their current plans, and that it has 0% financial risk, our clients are moving over.  If your current broker is not talking about this option, then you are missing a great cost-savings opportunity.

Here are what some of our clients are saying about the Self-Funded Option:

 “Once you understand the concept, it is a no-brainer. In short, self-insurance premiums are less; the benefits are more; the service is better than that of Anthem, Aetna or United Healthcare; and there may be a refund check at year end.”  Carolyn S.

“It’s been an unqualified success for us. We saved more than 25%  over conventional insurance;  the customer service has been excellent, and we’ve had no complaints from employees over the quality of coverage.” Simon T.

“… this year we received a favorable renewal, but we decided to try the Self-Funding route and we were able to save off that renewal. Plus, with the potential money left in the claims fund at year end, the savings could be bigger.” Steve B.

If you would like to learn more about the Self-Funded Option for your business, contact Bill Schmidt directly at 703.939.9108.