Today, Zane Benefits, the #1 Online Health Benefits Solution, published new information on defined contribution healthcare.
According to Zane Benefits’ website, defined contribution healthcare is a radical change in how employers and employees purchase health insurance. Defined contribution is solving a problem for small businesses, but it is disrupting the current small group health insurance industry. Defined contribution puts consumers in the driver’s seat.
For example, according to Zane Benefits’ website, with traditional small business health insurance, the employer purchases a small group health insurance plan (or plans). The cost is typically split between the employer and employees.
With pure defined contribution, the employer sponsors a reimbursement plan and provides employees a monthly healthcare allowance. Instead of focusing their health benefit dollars on a particular plan or carrier, employers focus on the money and support they give employees to help them get individual health insurance.
This is a radical change because defined contribution removes the employer from selecting and purchasing the actual health insurance, and allows the employer to get out of the health insurance business.
About Zane Benefits
Zane Benefits, the #1 Online Health Benefits Solution, was founded in 2006 to revolutionize the way employers provide employee health benefits in America. We empower employees to take control over their own healthcare, while helping employers recruit and retain the best talent. Our online solutions allow small and medium-sized businesses to successfully transition to a health benefits program that creates happier employees, reduces costs and frees up more time to serve their customers. For more information about ZaneHealth, visit http://www.zanebenefits.com.