CU Benefits Alliance forms new “association health plan” for credit unions
PLANO, TX (October 9, 2018) — The health plan was created to provide all the advantages of the bulk buying power of an association health plan but the freedom of not being lumped in with groups that may have an unhealthy employee population. Most association health plans place good risks with bad risks. In other words, credit unions with lower claims experience are aggregated with credit union with high claims. This makes the “healthy” groups pay an inflated price to subsidize the below average groups. CU Benefits Alliance has solved this problem with its Interest Benefits platform.
This next-generation health program has multiple provider networks, depending on the geographic location of the credit union, to provide the broadest physician and hospital coverage available. It is structured to mirror the plan design options and lower pricing metrics of a large group (> 1,000 employees). For example, a credit union with 5 to 500 employees can now obtain economies of scale pricing, 20%-30% lower than purchasing employee benefits on their own merits.
CU Benefits Alliance has made the health plan pricing very simple. Rates are predetermined, on a national basis, through 2019. No more back-and-forth negotiation with a broker or insurance company. With some basic underwriting information, CU Benefits can provide a preliminary quote, in 24 hours, that will enable the credit union team to decide if it is a route they want to pursue.
The program also offers a unique, return-of-premium feature, typically only available to large groups. This allows the credit union to receive a portion of their unused premium back when the group has a better than expected claims experience. Instead of getting a rate increase each year, it is possible to get money back. Unheard of in today’s broken healthcare system.
For credit unions with 5-500 employees. Available in 38 states.
About CU Benefits Alliance LLC
CU Benefits Alliance’s mission is to change the way credit unions manage employee healthcare. Credit union leaders need a seamless, transparent platform where employees can access the best healthcare at an affordable cost. The CU Benefits Alliance strategies help further their commitment to the financial well-being and success of their credit union partners. For more information, visit www.cuBenefitsAlliance.com.