Both employees and employers place a great deal of significance on company sponsored health insurance benefits (Joseph J. 2012). Employees do care about their benefits. Benefits are a critical part of an employee compensation package, and health insurance benefits are the most important part. As work and family life absorb the bulk of an employee's attention and finances, having medical costs defrayed by a generous benefit package can…
The increasing trend towards ASOs mean that insurers have to compete to gain share in this business. That means they have to find ways to appeal to employers and help them reduce costs and improve care. b) Self-funded employers are demanding getting better value from their plans and they may switch to other ASOs if Aetna fails to provide the expected cost-savings. Insurers that will win in the ASO space are those who offer services demonstrating unique, long-term value by ensuring that every procedure charged for is…
Saltzstein’s points on the positive and negative effects of insured healthcare on an organization are supported by the statements and statistics by Dr. Ravi Hundal. A family practice doctor as well as the CFO of JMMG, Dr. Hundal explains the cost of health insurance that doctors receive while working at JMMG. In a company that employs 327 doctors, JMMG has an annual cost of $26,400 for doctor and dependant health insurance, totaling out at $8,632,800 per year (Hundal). While this benefits JMMG employees immensely and helps with the reputation of JMMG by holding “happy” employees, the economic costs are quite severe. However, JMMG has taken strides in order to ensure that the majority of their patients have health insurance, as they get a “35% discount for services”, and because of these efforts, those who are reportedly self-pay are less than 2% of all patients at JMMG (Hundal).…
Strengths State Farm insurance is a well-known insurance company that has been around for nearly a decade. Many insurances companies have a limited life and cannot adapt to the rapidly high demanded market within the financial service industry. For a company to last as long as State Farm and with as much success is the result of many strengths. State Farms services almost seem endless when it comes to what policy holders can insure. People enjoy having options when possible and that’s exactly what State Farm has to offer.…
Geico is one of the largest advertising companies to surface the business world. They are leaders in advertising spending in the U.S. Geico is one of the only companies that spends over one billion dollars on advertising annually. The ever-growing car insurance company built a brand and has set themselves apart from the rest in they way that they adversities. They have numerous television commercials, print,magazine, billboard and radio ad campaigns all going at once. Each featuring their famous slogan “15 minutes and save you 15% or more on car insurance”.…
Health Insurance Does Not Secure In-Time Health Care Famous for its advanced insurance system design, United States has also seen citizens suffering from the unaffordable cost of insurance. With the possibility to be over $1,000, the premium is more than capable of frightening people away from health insurance. Statistics found that the uninsured rate in some states could be as high as 20% (Kovner & Knickman, 2011, p.156). Now with the introduction of ACA and relevant policies with systematic attempts to lower the cost and enhance people’s awareness, more people are expected to have access to health insurance. However, the access to health insurance only means covered expenses of the health care service delivered to the policyholder, which…
Introduction: What is the Health Care Reform Bill Act and how did it come into existence? In March of 2010, President Obama signed into law the Affordable Care Act (ACA), which is normally known as Obamacare is an endeavor at Health Care reform. Healthcare reform is thought to be required due to soaring costs, low quality of care, Americans lacking medical coverage and to put a stop to healthcare fraud (Assistant Secretary for Public Affairs , 2014). In this paper I will discuss the ACA projected timeline of changes, the key features of the law and what affect the changes has on employees and employers as well as how the law has affected organizations method toward benefit planning.…
The American health care system is the subject of much debate due to its high cost and its bad results. This system of liberal tradition is based on private insurances that are linked to employment and on public health insurance for low-income people and elderly. But nearly 16 % of the population is not insured, especially because of the increase of health expenditure and insurance premiums. As regards healthcare organization, health insurance is based on…
Intent of Consumer Driven Health Care (CDHC) Consumer Driven Health Care (CDHC) are health insurance plans designed to give consumers control over their health care expenditure. That is; patients are in control of their dollars. It gives patients the flexibility to shop around for the cost of health care. By doing this, they can choose the most suitable cost-effective health care.…
Although there no such legitimate definition of Keyman insurance, it basically refers to covering the unforeseen events that the key employee comes across. The catch is that this benefit is enjoyed by the employee so long as he stays back in the company or is of any usefulness to the employer in the business operations. The actual objective of taking out the insurance is to compensate the employer for the loss of trading income that may result from the loss of the service of the key employee in case of death, sickness or injury. Have you ever wondered how or why some employees stick to the company because of the benefits offered to them by the company? What are the benefits the employer gives his employees in order for them to stay back?…
For 158 years, Northwestern Mutual has helped clients achieve their financial goals by implementing personalized plans that provide the needs and wants of our clients, guiding them to a financially secure future. As a life insurance company with no shareholders, our financial representatives are focused solely on providing excellent and dependable service to our clients. After reviewing your information, and analyzing our services, our financial representatives have identified the best options that will fulfill your needs. We are confident that we can secure your financial future based on these strategies: Invest in a retirement plan*: As you plan to retire at 55, we know that it is important to you to have a hassle free, peaceful retirement, so that you can spend your time with your family and loved ones. To ensure this happens, we recommend investing in Roth IRA with our company.…
Choosing a health policy is difficult whether you live in the United States or foreign country. It can be a very convoluted process and purchase, reassured that it is an important purchase. There are a number of premium insurance providers across the globe that will help a client chose the most appropriate and affordable coverage. Looking on the healthcare market place for insurance in United States one company stood out which was Blue Cross and Blue Shield health plans (BCBS). The Blue Cross and Blue Shield has 36 independently operated companies, federal employees program and state programs.…
Certainly, the contribution of the Managed Care Organization to the present health system of the United States cannot be overstated; hence, the managed care organization is considered an integral part of the complex health care system in the United States. Through the evolution of the managed care industry, the organization has created various modalities of delivering health care services to their respective beneficiaries. For example the PPO, a PPO by all indications is a group of health service providers, such as hospitals and doctors, which agrees to provide services to an insurer’s customers at certain set rates. As a purchaser of health insurance, the most appealing health insurance model to me is the preferred Provider Organization (PPO).…
However, Aflac identifies the definite value of employee benefits, which resulted with the general philosophy, which is all about employee. Hence, considering the competitive salaries, Aflac involves planning benefits packages, which reveal the requirements of multi-generational employees by looking for portability, which seeks constancy. Hence, it is related to developing positive work environment, which is conductive to efficiency that offers one largest on-site fitness and service discounts. In this way, it recompenses 100% of top employee for radical cancer insurance, which is in accordance with company’s charitable commitments as publically accountable company that positions Aflac by leading industry to enhance the service levels since it is essential for the company. L.L. Bean has recognized the weakness with the strategic review as the company holds the financial and human resources, which geared with growth of catalogue business, which includes retail expansion by means of internet sales.…
2.2. PESTLE ANALYSIS 2.2.1. POLITICAL FACTORS Life insurance industry is affected by many political factors. In political sphere, hike in FDI limit up to 49 percent but, the Parliamentary Standing Committee on Finance has rejected foreign direct investment (FDI) to 49 per cent, in the Insurance Laws Bill (Amendment) 2008 (News, 2011).…