Insights from Wellthie
Sally Poblete, Wellthie founder and CEO, recently discussed the evolving role of the benefits broker, and how insurtech solutions like Wellthie can positively impact their future.
Contact us today to schedule a demo and learn how Wellthie can help maximize your small group sales.
As debate continues to swirl about the future of U.S. healthcare regulation, here are the four high-level trends we may expect, and how stakeholders could be affected:
1. Healthy people may start leaving the individual market
Recent changes eliminate the penalty for not having health insurance. Under the ACA, consumers were charged a penalty for the year they lacked coverage. But now, when consumers file their taxes, they won’t be charged a penalty. Without the penalty, younger and healthier consumers may choose to not have individual coverage. However, this doesn’t mean they don’t need or want health insurance coverage. Expect employers to play an increasingly important role in filling the gap. That being said, not all employers offer health insurance. It’s still ambiguous what the self-employed (think contract, freelance or gig workers) will do. Under the likely scenario in which many of the self-employed forgo insurance under the new regulation, the uninsured rate may increase.
The premiums received from healthy people are generally a great hedge for the unhealthier, or higher-risk, populations for carriers. With the changes occurring in the individual market, carriers can expect a worsening loss ratio: The ratios paid by the premiums to the insurance company to cover settled claims begin to decrease. With the risk pool looking worse, carriers may concentrate on boosting their sales in relatively more stable segments.
3. Employer-sponsored coverage will be critical for employee retention
If the ACA’s employer mandate is repealed, small businesses may no longer be required to provide affordable, minimum-value coverage to their full-time employees to avoid penalties. That being said, with many people losing their individual health coverage, employees may increasingly expect health coverage from their employers. Employer-sponsored benefits have always played a critical role in attracting and retaining talent, but, with the current instability in the market, many employees will appreciate the security of an employer-sponsored coverage plan more than ever.
4. States may have increasing regulatory power
States may gain further flexibility to develop new healthcare models, including changes to affordability and choices offered. A number of states are pushing for their own legislation that could potentially give additional protection to residents beyond the federal level. Keep an eye on states like New York and California, which seek to create programs to increase benefits and requirements set by the ACA.
Wellthie is thrilled to announce its partnership with Alliance Direct Benefits, a national provider of health, travel, and education benefits to businesses, families, and individuals, to offer Alliance’s most popular benefits through the new Wellthie Small Group Platform.
Brokers can now easily access and enroll small groups in the Alliance Value Plan — which consists of the Alliance’s seven most popular benefits — on Wellthie’s Small Group Benefits Marketplace.
The Alliance Value Plan combines seven top benefits into one affordable package that covers Members and their families from just $10/month. Benefits include:
- 24/7 Doctor Access – 24/7/365 access to board-certified doctors via smartphone, web or phone, with no consultation fees or co-pays
- Emergency Roadside Assistance – 24-hour toll-free access anywhere in the U.S. and Canada
- Global Emergency Assistance when traveling more than 100 miles from home including medical consultation, emergency medical evacuation and more.
- Free and discounted legal services from a nationwide network of qualified attorneys
- ID Theft Resolution Assistance – unlimited access to fraud specialists
- Alliance Scholarship Program – over $2.6 Million awarded since 1996
- Career Education Grant Program – assistance for 2-year trade or tech schools
Through Wellthie Small Group, brokers can multiply their market opportunity and drive long-term relationships, while supporting small businesses in increasing employees’ access to medical and ancillary coverage like the Alliance Value Plan.
The benefits offered by the Alliance Value Plan protect employees and their families for just $10 a month per family. The Alliance Value Plan is also used by businesses to provide seasonal and part-time employees with access to benefits, which increases retention and employee satisfaction.
“Alliance Membership is an ideal way for small groups to add high-value benefits for a low per employee per month cost.” said Todd Hyatt, General Counsel, Business Development at the Alliance. “And by partnering with Wellthie, it’s even easier than ever to connect brokers, employers and the Alliance Value Plan.”
To learn more about the Alliance Direct Benefits – Wellthie partnership or to sign up for access to Wellthie, please visit https://www.wellthie.com/alliance-direct/.