We’ve published on different Silkin Management Group blog sites 3 previous articles covering different ideas for small businesses on controlling health care costs. These ideas came from an article in Forbes magazine which you can access here: http://www.forbes.com/sites/roblynch/2012/01/05/ten-ways-small-businesses-can-lower-healthcare-costs-and-hire-more-people-in-2012/
So far we have covered six different ideas that can be explored by small business owners that might help reduce their health care premiums for their employees. They are:
• Pooling with other businesses in an insurance plan.
• Due proper due-diligence when shopping for a plan – get as many quotes as possible.
• Implement a wellness program.
• Implement a policy regarding smokers.
• Set up a wellness hotline.
• Be part of a pilot program for clinical trials.
You can access our last article on this Silkin Management Group blog site: http://bit.ly/wsmeAd
Today we will cover two additional ideas that can help control a small business owner’s health care costs:
• Do a close review of your premiums: You should only be paying premiums for your employees and, if included in your plan, their proper dependants. Look over the paperwork from your insurance plan and make sure there are not any individuals covered that are not employees or legitimate dependants. You should not be paying for Uncle Al or Grandma or the next door neighbor.
• Look at cost sharing with employees: How do you cost share, you might ask. As the Forbes article points out, there are 4 ways: co-payments to doctors, high deductible plans, splitting the premium cost and co-insurance percentage bill splitting. You can use HSAs (health savings accounts) to implement these procedures. This type of “cost sharing” with employees provides them a much greater incentive to control their health care costs and, hopefully, take better care of their health. People who pay little out of their own pocket tend to use the health care system to excess and end up increasing premiums for everyone.
In our next Silkin Management Group article we’ll present the final two ideas from the Forbes article on controlling these every increasing costs.
Gary Crawshaw
Silkin Management Group Consultant
For more information about Silkin Management Group, visit our website at www.silkinmanagementgroup.com or give us a call at 800-695-0257.
