GROUP HEALTH INSURANCE

At BIS EMPLOYERS can find comprehensive group medical coverage for their employees and themselves, as well as for dependents at the competitive affordable cost.

Besides offering access to affordable health services, group coverage also helps businesses in other ways such as employee retention and tax benefits. The reality is that there are plenty of compelling reasons to consider buying health coverage for your business

Better access to care
Manageable costs and financial security
Tax benefits for your business
Better employee recruitment and retention

EMPLOYEES - WHAT TO KNOW WHEN BUYING?

Under California law AB1672, small employers are guaranteed group coverage should they choose to purchase it, regardless of the employees' health status. A "small employer" is defined as a business with 2 to 50 full-time employees. Owners are generally counted as employees, so sole proprietorships with one employee fall into this category, as do partnerships without any employees (by definition partnerships have two or more partners).

California state law AB1672 says that small employers cannot be denied coverage as long as they:

• Pay their premiums.
• Have been in business longer than two months.
• Offer medical insurance coverage to all eligible full- and part-time employees.
• Comply with insurer requirements regarding employer contribution and employee participation.
• Have not committed fraud against the insurer.

Employers - What to Know When Buying?

Nowadays, almost all large employers offer group health coverage, as do many smaller firms.

One of the great benefits of group health coverage is cost.

Premiums are frequently lower than with individual coverage because economies of scale in large groups make administration less expensive. And with group coverage, the employer usually pays a significant part of the premium.

Another plus is eligibility.

Group insurance policies usually don’t require a medical exam or other evidence that you are insurable. Enrollment occurs when you take the job (although coverage may not take effect for several weeks or months), and you can change your coverage during a specified period each year, called open enrollment. Some employers offer a choice of fee-for-service and managed care plans, as well as prescription and dental coverage.

Portability.

The ability to keep your coverage in force if you leave your job, is another nice feature of group insurance. Because of a federal provision called COBRA, most employers with more than 20 workers are required to give you the opportunity to continue your coverage if you leave your job. You’ll be responsible for the full premium, but because you’ll still enjoy the group rate, this may be less expensive than purchasing a policy on your own. COBRA only allows for temporary coverage, but it’s a great way to keep yourself and your family financially protected until you find other employment or obtain coverage elsewhere. For more information about COBRA, visit this section of the US Department of Labor Web site

If your employer gives you a choice of plans or you need to purchase your own coverage, it is crucial that you understand your health insurance choices and pick the insurance that is best for you and your family.

If I Change Jobs or Become Unemployed, Can I Bring My Coverage with Me?

If you switch employers, you have the right to carry your group health insurance coverage with you for up to 18 months under the Consolidated Omnibus Budget Reconciliation Act (COBRA).
Health insurance under COBRA is available if you are in the following situations:

1. You leave a company and become unemployed or self-employed for up to 18 months.
2. You are a widow or widower or child of an employee who dies while working for the same company for three years or more.
3. You are the divorced spouse or child of an employee who has left the company he or she was employed at for at least three years.
4. You are the child of an employee who left a job and have not yet reached age 23.

NOTE:

If you need COBRA benefits, you must fill out the appropriate forms from your employer’s benefits department within 60 days of leaving your job. If you do not act within that time, you may be denied coverage.
For individual health insurance products and services please visit ( link to page 1 ).
Short term health insurance could be a temporarily solution while between the jobs.