How many businesses do you know that would want to cut its’ revenue in half? That’s why the health care system won’t fix itself,” Senator Rick Scott, former CEO of Hospital Corporation of America (HCA) & Governor of FL
The current benefit system with insurance carriers is not working. Insurance companies are not solving the cost problem; they simply add to it, extracting far more money from Plan Sponsors than the value provided. The current system has resulted in year over year increases to employers, and subsequently employees are paying the price with higher payroll deductions and decreasing coverage (higher deductibles and out of pocket maximums). As a result, medical debt has surged and is now the number one cause of US bankruptcies.
The Cost Plus Model is a modern healthcare solution that is based on common sense and transparency that reduces the actual cost of claims. Reinsurance carriers recognize the value of our risk management tools and subsequently reduce the cost of reinsurance.
Both employers and employees win with lower costs and better benefits.