Questions that you have always wanted to ask but.....
1. What is level funding for small businesses with less than 50 employees?
This is a way for small businesses to self fund their medical insurance without any financial exposures. You pay the premiums like fully insured but get the unused claims funds at the end of the contract period. It is a great alternative for healthy groups.
2. What is a Health Savings Account and how is it different from F.S.A.?
An H.S.A. is a funding account that can be funded year after year and roll over unused funds to grow throughout your working life. You can use these funds to pay for medical expenses, tax-free. It is a 401k for your medical expenses. There are IRS limits to the amount you can contribute each year.
Flexible Spending Accounts (F.S.A.) are funding arrangements between the company and the employee. You can contribute tax-deferred dollars to pay for out of pocket expenses. This can be for medical, daycare and even parking. The 2022 IRS allowance is $2,850. These plans have a "use it or lose it" rule; however, the employer can allow up to $500 to be rolled over to the next year.
3. What is a medical bridge or secondary insurance?
Medical bridge or secondary insurance is insurance that works in conjunction with your
major medical insurance. It is insurance to insure the higher deductibles from your medical carrier. For example, your major medical insurance has a $5,000 individual deductible, your secondary insurance has a $4,000 benefit. Your out of pocket for your deductible is now $1,000. Medical bridge/Secondary is usually less expensive than getting a lower deductible plan with the major medical carriers.
4. What is supplemental insurance?
Supplemental insurance typically pays you back for those unexpected costs when they happen. You can purchase a variety of plans. The most popular are Accident, Cancer, and Disability. You submit your claim, the carrier will send you a check for the benefit reimbursement amount. Rogers Benefits offers Colonial Supplemental Products.
5. What is disability insurance for? Why do I need it?
Disability insurance pays you a portion of your salary while you are unable to work. This is to help you pay your monthly bills like mortgage, car payments, food while not bringing in a paycheck. Typically, a plan pays 60% of an employee's monthly salary up to a maximum amount. Group Short Term disability is usually paid benefits to you up to 90 days minus your waiting period which is usually 14 days. Long Term Disability starts at the 91st day and pays you until you are able to go back to work or retirement age.
6. Is Rogers Benefits and Consultants more expensive than my current broker?
No. We do not charge our clients. We simply get paid by the carriers.
Got a question? Call us! We want to help you.