Why use GroupHRA?

• Savings: Immediately lower your monthly premium up to 50% or more by raising your group health insurance policy deductible
• Recruiting: Offer 100% first-dollar coverage for out-of-pocket medical expenses (including dental, vision, and wellness)
• Retention: Healthy long-term employees can build HRA balances over time to pay major expenses (e.g. Lasik, dental, pregnancy)

Why GroupHRA Saves Employers and Employees 30% overall on their Health Benefits

When purchasing any type of insurance, it's always wise to choose the highest deductible you can afford. GroupHRA allows you to make this wise decision for your employees while still providing them low- or no-deductible coverage that they can afford.

Your GroupHRA savings don't just apply to your company—your employees save on the participation costs for their spouse and dependents.

Only 10-15% of employees in any given year reach a $500 deductible. The high monthly premium you've been paying is wasted on 85-90% of your employees.

Insurance carriers charge up to $3,000 less per family if you raise your deductible only $2,000—this is because the first $2,000 of medical expenses is typically spent in 20 transactions each requiring $50 or more ($1,000 total) in paperwork expenses.

Until GroupHRA, employer reimbursement of under-deductible expenses was taxable and an administration nightmare, plus employees had to pay under-deductible expenses with precious after-tax (and FICA) dollars.

Congress solved this problem when they created HRAs, which allow employers to reimburse employees tax-free for medical expenses. Visit IRS Website on HRAs.

GroupHRA saves you 50% or more on your Group Premium, and a typical net savings of 30% after your HRA reimbursements cover under-deductible expenses for your employees.

See Example Savings.

Recruiting Employees

Prospective employees always ask about health benefits when considering joining a new company. Instead of apologizing about your benefits, with GroupHRA you explain that your company gives employees 100% first-dollar coverage (including dental, vision and wellness).

With GroupHRA, you explain that:

1. Your group plan includes high deductible health coverage that also gets them a substantial discount on medical services.
2. Each employee also receives an accumulating monthly allowance to reimburse them, tax-free, for expenses under their deductible, including dental and vision (if applicable).
3. If they are healthy, whatever they don't spend of their monthly allowance accumulates forever for their benefit for as long as they work for the company—and can be used to pay for LASIK, major dental, or any other large medical expense.

Retaining Employees

The unspent amount of each employee's monthly HRA allowance accrues for their benefit as long as they work for the company. Their HRA allowance can be used at any time to pay for dental, LASIK eye surgery, weight loss, pregnancy, or anything allowed under IRS regulations.

Employees who have large out-of-pocket medical expenses can submit their bills and can receive immediate reimbursement up to their HRA balance. If their expenses exceed their HRA balance they will have their expenses paid off monthly (as long as they stay with the company).

Employees view their accumulating GroupHRA balance as "their money" and know they will lose it if they leave your company.