Supplement plans insulate executives from deductibles, saving company money.
The Affordable Care Act makes it more difficult for companies to justify special benefit rich health insurance plans for their key people and top executives. Recipients of “Cadillac Health Care Plans” will realize on a 40% tax on the employer contribution starting in 2018. Even while under the ACA in 2014 CEOs maybe choosing the same health insurance plan as their truck driver, new supplement plans for executives can virtually eliminate out-of-pocket expenses such as copays and deductibles.
Separate but equal
ArmadaCare Executive Health is an executive level supplement insurance plan that keeps the Board Room separated from the break room. Executive Health is touted as protecting the member financially, “…with comprehensive coverage for out-of-pocket medical, Rx, dental, vision and other 213-eligible expenses.” Plus, supplemental payments to the member are usually tax-free.
What entry level employee having to select a $5,000 deductible health insurance plan wouldn’t want the piece of mind knowing they didn’t have to worry about catastrophic medical expenses for their family? Apparently, top executives worry about this a lot and need special supplement insurance to cover the unexpected medical emergency. Never mind that the typical CEO earns over 300 times more than their average employee.
But wait, there’s more!
Executive Care offers
- Coordinated comprehensive executive physical
- 24/7 medical and travel emergency support, including air evacuations for them and family members.
- MasterCard Prescription Card to eliminate pesky prescription copays
- Priority to sought after specialists
- $100,000 reimbursement for medical expenses, in case that specialist is out-of-network
It’s good for the bottom line
A big selling feature for companies is knowing that when they only offer super high deductible plans to the employees, it won’t effect the executives. As the marketing material for Executive Health states, “…supplement coverage enables them to de-couple the decision about what is best for the business and what is good for them.” What is best for the business is reducing health insurance costs with high deductible plans and rewarding top executives with a supplement so they don’t have deal with rank and file insurance. An added bonus is that the premiums for the Executive Health supplement plans are deductible as a business expense.
CEOs sleep better with supplements
If anyone was in fear that the Affordable Care Act would some how diminish the health insurance perquisites for top level executives; comprehensive supplement plans like Executive Health from ArmadaCare will help keep the CEOs protected from those deductibles that sink so many employees in their company that may only make minimum wage.
Supplement coverage is not a bad concept or product. Many companies offer it to employees as a way to hedge against high deductible health insurance plans. Unfortunately, high deductible plans hit those who can least afford the medical expense the hardest.
