With the rising deductibles within the health care industry, your financially responsible employees are finding hard times with these expenses. You want to offer your employee’s health plan options with lower deductibles, however, the premiums for these plans are simply unaffordable.
What if there was a way to protect your employees from finding these hard times of paying a high deductible all at once if an unfortunate situation happens? What if you could keep premiums low, and help employees with the high deductibles when the occasion arises? Now there is a way.
Focus OneSource is happy to introduce Deductible Assist. It’s the benefit you can offer your employees to show employees you care and will help them through the volatile times of rising health care costs.
Deductible Assist provides your valued employees a short-term, no interest payroll advance to those employees who are unable to a pay their deductible after health care services are received. Repayment of this advance would be through the payroll process provided by Focus OneSource.
A recent study by JP Morgan Chase & Co. Institute shows on average, the typical household has $3,000 in liquid assets. When considering how much deductibles are rising the thought is a bit frightening.
Liquid Assets are assets that could be converted quickly into cash without receiving a relatively large value loss due to converting it quickly into cash. These are types of assets like stocks, government bonds, checking and savings accounts.
Non-Liquid Assets are assets that have value, however, take more time to turn into cash to receive the proper value. You don’t want to be in a hurry to sell non-liquid assets or you may receive less cash than the actual value. These are types of assets like real estate, jewelry, oil, artwork, and electronics.
To begin the process your employee gives Focus OneSource a copy of the letter your health insurance company sends you after they process your claim. This letter is commonly called an Explanation of Benefits (EOB). After Focus OneSource receives this information your employee will then be contacted to review how the repayment process works as well as an estimate of the per paycheck deduction amount.
Deductible Assist Guidelines:
Deductible Assist is available to all full-time benefit eligible employees (Spouses and/or dependents are not eligible at this time)
Employees are eligible even if covered under a spouse’s or individual health plan
Maximum advance amount at any given time is $2,500.00
Repayment time frames are based upon the employee’s annual income
In the event of an involuntary termination the employer responsible for the outstanding balance owed to Focus OneSource
In the event of a voluntary termination the employer is NOT responsible for the outstanding balance owed to Focus OneSource
In the event that a client terminates their service agreement with Focus OneSource the client is responsible for paying all employees outstanding balances
There is an administrative fee is $2.00/per employee per month plus a one-time fee equal to the advance amount times the prime rate at the time of the advance
Employees will be required to sign a promissory note that will survive their voluntary termination and authorize Focus OneSource to withhold up to 100% of their final net pay
Employees will be required to execute financial individual authorization document authorizing Focus OneSource to obtain medical claim information for the purpose of negotiating a prompt payment discount with the provider
Deductible assistance above the $2,500.00 limitation is required to be funded by the employee as a condition to obtain a prompt payment discount
Payments from Focus OneSource will be made directly to the hospital
The prompt payment discount will be used to reduce the amount owed by the employee
Employees may have multiple advances outstanding as long as the total balance is less than the advance maximum of $2,500.00