MEDICAL REIMBURSEMENT ACCOUNT PLANS FROM TRION
Consumer-driven health plans are rapidly becoming a standard benefit offering in employee benefit packages. With soaring health care costs, stretched employer benefit budgets and employee need for control and flexibility in benefit spending, consumer-driven health plans are the right solution at the right time. Typically, a consumer-driven health plan combines a higher deductible health plan with a consumer directed plan such as a Health Reimbursement Account HRA).
Health Reimbursement Accounts (HRAs) have become the cornerstone for many consumer-driven health plans. HRAs, often referred to as Medical Reimbursement Accounts, combine the control and cost-saving tools employers are seeking with the flexibility and protection employees need. With an HRA, employers fund individual reimbursement accounts for their employees and define what those funds can be used for, as narrowly defined as one expense type, such as a primary care office visit, or as broad a definition as all qualified medical expenses.
Higher Deductible, Higher Co-pay Health Plans can result in substantial reductions in insurance premiums by shifting from first dollar coverage. Many employers use the premium dollars saved from a benefits downgrade to contribute to an employees’ account making the change cost-neutral or even possibly providing a savings to both the employer and the employee.
A Health Reimbursement Account has become a popular strategy for companies that seek to provide their employees with a broad range of benefits and control without raising costs or increasing out-of-pocket exposure.
Continue reading for more information on Health Care Reimbursement Accounts.
» To learn more about additional flexible spending account options, please continue reading about Trion's Flexible Spending Account solutions, or request a proposal.