The Small Business PACE Plan

The Medical Insurance world, in an effort to lower the cost of coverage for employers and employees, has evolved their product offerings by increasing out of pocket costs for the consumer.  The thought is that this balancing act will keep insurance premiums at a reasonable level.

Of course the problem is the out of pocket expense when you actually need to use the insurance plans.  It’s not unusual to see deductibles at $6,000 or more for family plans.

Many employees have access to Health Savings Accounts (and similar) to help address the out of pocket problem.  And, it’s great that these accounts are funded with pre-tax earnings.  But, it’s still your money that you’re putting aside to pay those out of pocket expenses.

Focusing on your out of pocket expenses, I’m happy to say that there are cost effective supplemental insurance plans that can help reduce this burden.

The typical voluntary GAP plans offer employee paid products that pay cash for items such as hospital stays, first time diagnosis of a serious illness, major surgical procedures, etc.  As these are voluntary plans, your employees choose to be coverage and pay premiums.  If these plans work for you and your organization, wonderful.

I started Ponca Consulting this past August to focus exclusively on the needs of the Small Business Owner in New Jersey.  Incidentally, there are roughly 252,000 small businesses in NJ.

Most of these businesses have less than 10 employees.  Some of these businesses offer Medical plans.  Some do not.  Most of these businesses value their employees.  In some instances they become like a member of the family.  Employees are your most valuable assets.

Regardless of whether or not you can offer your employees a medical plan, there is always a desire to attract and retain your most talented employees.

I’ve partnered with an “A” rated insurance company to create the PACE plan (Ponca Accident Cash Enrichment plan).  This is a cost effective supplemental accident product that will allow you to provide your employees with:

  1. Cash payments for each day that they are confined to a hospital due to an accidental event.
  2. An accidental death benefit to supplement any other death coverage in place to protect their families in the event of a loss.
  3. A serious accidental injury benefit that pays cash for injuries causing permanent damage, and
  4. A benefit for workplace violence resulting in a covered loss.

Premiums are paid by the employer.  The typical cost of these plans is less than $10 per employee per month.  Though, it is subject to a $1,000 minimum annual premium.

Plan Features:

  • Attract and retain valuable employees
  • Address the needs of your employees (treat them like family)
  • Offer benefits that payout regardless of any other plan that may be in place
  • Reduce the burden of deductibles and co-pays
  • Tighten the bond between employer and employee

Also, note that between the ages of 15 and 44, accidents are the leading cause of death.  This is the range where the vast majority of your employees are.

Getting a quote is extremely easy.  Administration is extremely easy.  I have a special agreement with the insurance company to allow quotes to be released with just the bare minimum of information.  All I need is:

  • Company name
  • Company address
  • Nature of business
  • Number of employees
  • Plan chosen

There are three plans to choose from.

Player

Accident Only Daily Hospital Cash Benefit

  •  $100 per day of hospital confinement
    • 3 day retro waiting period
    • 180 day maximum benefit payout

Extended Felonious Assault Benefit

  • $50,000

Accidental Death

  • $25,000

Accidental Dismemberment or Paralysis

  • $25,000 maximum benefit

Pro

Accident Only Daily Hospital Cash Benefit

  •  $200 per day of hospital confinement
    • 3 day retro waiting period
    • 180 day maximum benefit payout

Extended Felonious Assault Benefit

  • $50,000

Accidental Death

  • $50,000

Accidental Dismemberment or Paralysis

  • $50,000 maximum benefit

All-Star

Accident Only Daily Hospital Cash Benefit

  •  $500 per day of hospital confinement
    • 3 day retro waiting period
    • 180 day maximum benefit payout

Extended Felonious Assault Benefit

  • $50,000

Accidental Death

  • $100,000

Accidental Dismemberment or Paralysis

  • $100,000 maximum benefit

I created these plans as they combine meaningful benefits and reasonable cost.  I know that managing your expenses is a fulltime job.  If you’re going to offer something, it had better be a good value all around.  As I mentioned earlier, the administration of these plans is extremely easy.  No one needs to solicit your employees, no need to set up payroll deductions, no disruptions to your business.

Anyone can get a quote by contacting me via phone: 609 212 3833 or via e-mail:  jrdunn@poncaconsulting.com

Treat your employees like family.  Attract and retain your most valuable assets.