Employers Save Over 50% on Average By Switching to Individual Health Plans, Cites New Remodel Health Analysis

INDIANAPOLIS, Aug. 5, 2021 /PRNewswire/ -- Remodel Health, a leading health benefits software, today announced new research revealing changing trends in employer-sponsored health coverage. The full report, "National Health Benefits Analysis," provides insights into the benefits of transitioning to managed individual health plans for employers and employees.

"The reality is small businesses save more than 50% simply by switching to managed individual health benefits," said John Staub, brand development manager at Remodel Health. "Every day employers stick with their antiquated group health plans, they are losing out on lower premiums, higher profit margins and better benefits for their employees. Now is the time to reconsider your health benefits strategy and start investing those costs back into your business."

Remodel Health's research provides an in-depth analysis on employer-sponsored health coverage, including premiums, employee contributions, cost-sharing, ancillary programs, offer rates, industry trends and more. The report includes thousands of data points gathered from U.S. employers and employees, gaining insights around traditional group plans and managed individual health plans over the last three years.

Key insights from the report include:

Monthly employer premiums are lower for managed individual plans

• Monthly premium costs are nearly 35% higher for traditional group plans.
• Managed individual plans are $228 less per year than traditional group.

Traditional group plans are twice as expensive for employees

• The average annual employee contribution toward managed individual plans is $1,586, compared to $3,416 for traditional group plans.

Employers reap significant savings by leveraging individual tax credits

• Advanced premium tax credits reduce plan costs by 51% on average for employers and employees.

The health benefits employers choose do not reflect their employees' preferences

• When offered the choice, employees opt for lower-level networks and plans over employer-selected benefits.
• More than 47% of individuals choose bronze-level health benefits and 46.5% choose HMO networks.

The right ancillary benefits create more competitive packages

• Accident plans have grown 51% in popularity. On average, these plans cost employers an additional $24 per month.

"We saw the costs of our group plan continue to climb for years and finally realized we had to do something different to see different results," said Frank Beaman, CEO of Texas-based Faith Community Health System. "We left our old group plan three years ago for managed individual. The coverage and cost savings well exceeded our expectations and we've never looked back. My encouragement to employers is to get out of the box, think differently, and give an honest evaluation of this new way to provide health benefits to employees."

To view the National Health Benefits Analysis or to learn how to spend smarter on health benefits, visit RemodelHealth.com/NHBA.

About Remodel Health
Remodel Health tailors health benefits to your organization's needs — allowing you to discover more options, serve employees better, and control the cost and quality of your health benefits. Remodel Health's unique approach to health benefits helps organizations cut healthcare costs by an average of 51% by leveraging its innovative software platform and transitioning groups onto affordable, individual plans.

Media Contacts
Zach Weismiller
BLASTmedia for Remodel Health
[email protected] 
317-806-1900 ext 119

SOURCE Remodel Health

Related Links

http://www.remodelhealth.com