Small-businesses owners looking to put off the impact of the Affordable Care Act (ACA) will have on them might be able to do that by renewing their group insurance plan early.
Blue Shield has estimated rate increases for 2014 at 30 to 100 percent, while United Health Care's estimates have come in at 25-60 percent.
We all remember the promise that,"you will be able to keep your insurance plan." Not true. All plans will change at their renewal in 2014.
We were also promised, "you will be able to keep your doctor." Not true. Doctor lists will continue to shrink due to lower payments from Medicare and insurance companies. Doctors will retire or become concierge doctors that don't deal with insurance. A reduced choice of providers will be offered as a way to reduce the cost of insurance. There will be less doctors and more people insured, which means less access.
The ACA includes new taxes on insurance companies that will be passed off to small businesses. Put off the ACA taxes with certain insurance carriers. Blue Shield and SeeChange will charge these taxes, while Aetna and UHC have built the tax into their rates.
Currently, small businesses can get a minus 10 percent to a plus 10 percent rate adjustment based on a number of factors. This goes away in 2014. Everyone pays the same rate, regardless of the health of your employees. If you have the 10 percent discount, you will lose it.
Husband and wife teams, partnerships, sub-s corporations, and LLC's without a W-2 employee will lose their plans in 2014.
Why would I not take advantage of the early renewal option?
You are an older group. Maybe.
You have the 10 percent load. Maybe.
You are cancelling your group plan.
Talk to a broker about this and other options before it's too late! Deadlines to early renew are as soon as Oct. 7 with some carriers.
King can be reached at [email protected]
Blue Shield has estimated rate increases for 2014 at 30 to 100 percent, while United Health Care's estimates have come in at 25-60 percent.
We all remember the promise that,"you will be able to keep your insurance plan." Not true. All plans will change at their renewal in 2014.
We were also promised, "you will be able to keep your doctor." Not true. Doctor lists will continue to shrink due to lower payments from Medicare and insurance companies. Doctors will retire or become concierge doctors that don't deal with insurance. A reduced choice of providers will be offered as a way to reduce the cost of insurance. There will be less doctors and more people insured, which means less access.
The ACA includes new taxes on insurance companies that will be passed off to small businesses. Put off the ACA taxes with certain insurance carriers. Blue Shield and SeeChange will charge these taxes, while Aetna and UHC have built the tax into their rates.
Currently, small businesses can get a minus 10 percent to a plus 10 percent rate adjustment based on a number of factors. This goes away in 2014. Everyone pays the same rate, regardless of the health of your employees. If you have the 10 percent discount, you will lose it.
Husband and wife teams, partnerships, sub-s corporations, and LLC's without a W-2 employee will lose their plans in 2014.
Why would I not take advantage of the early renewal option?
You are an older group. Maybe.
You have the 10 percent load. Maybe.
You are cancelling your group plan.
Talk to a broker about this and other options before it's too late! Deadlines to early renew are as soon as Oct. 7 with some carriers.
King can be reached at [email protected]