Providing health insurance to your employees as a small business is one of the biggest challenges. You want to find the best plan that provides your employees with the most coverage, but you also have to keep the costs low. Finding the right insurance that fits all your needs can take up a lot of time that you don’t have as a small business owner.
That’s where our team at NetPEO can help. We can help you find an Austin PEO Insurance Services for your health insurance services. To find out more about employee leasing services and how our team can help, you can get in touch with us.
Cost Savings Advantages of PEO Health Plans
One of the most notable advantages of getting an Austin PEO broker for your health insurance services is saving money on various aspects of your PEO health plan. Here are some of the ways you can save money on your employees’ health insurance:
Higher Savings on Premiums
When small businesses in the Austin area partner with a PEO for their health insurance needs, you gain access to group plans with premium rates 10-30% lower on average compared to going solo. As members of a larger risk pool, PEO clients in and around Austin see significant discounts from major carriers. This substantial premium savings helps local companies stretch their benefit dollars further.
Lower Administrative Fees
PEOs based in Austin handle all the back-end work of benefits administration, from enrollment to billing to tracking use. This streamlined process results in lower overhead fees passed to clients versus if a small firm managed it alone. PEO health insurance services simplify administration at a lower cost.
Reduced Liability Risk
Through a PEO partnership, Austin businesses shift compliance risks like obeying Affordable Care Act (ACA) rules and processing payroll taxes to the PEO. They also avoid liability if an unusually large medical claim would otherwise financially damage their firm. This risk protection lets local employers focus on their specialty, not benefits infrastructure.
To further guard against financial exposure, Austin PEOs purchase reinsurance policies that kick in to cover individual claims over a certain threshold. Stop-loss coverage relieves small companies of the risk of one catastrophic case potentially bankrupting their health plan. It’s an added layer of stability that PEO membership provides.
Many PEOs around Austin implement wellness programs for their pooled members to encourage healthier behaviors. Over time, this helps control premium cost increases for the whole group. PEO health plans partner with local firms to jointly invest in staff well-being and savings.
Types of Health Insurance Plans Available
PEOs work with major insurance carriers to offer a variety of comprehensive health insurance plan options for small businesses and their employees. The following are some of the most common types of plans available through a PEO partnership with NetPEO:
- PPO plans: Preferred provider organization plans provide access to healthcare provider discounts while allowing flexibility to visit out-of-network providers at a higher cost.
- HMO plans: Health maintenance organization plans require employees to use healthcare providers within the plan’s network to be eligible for full coverage benefits.
- EPO plans: Exclusive provider organization plans are similar to HMO plans but offer fewer coverage restrictions and provider choice limitations.
- HDHP and HSA plans: High-deductible health plans paired with health savings accounts provide lower premiums in exchange for a higher deductible. Employer contributions can be made to the HSA.
- FSA plans: Flexible spending accounts allow employees to set aside pre-tax money for eligible healthcare or dependent care costs.
- Dental and vision plans: Standalone plans offer coverage for regular cleanings, procedures, and prescription eyewear needs.
PEOs tailor health offerings to business size and budget while ensuring comprehensive coverage options for small groups.
An Austin PEO Can Handle the Insurance Process
Handling health insurance administration and compliance in-house can put a heavy administrative burden on small businesses. By partnering with a Texas PEO broker, companies streamline these processes and free up valuable time and resources. Some ways a PEO streamlines health insurance administration include:
- Enrolling new hires and managing any qualifying life events through an online portal or dedicated account team.
- Issuing ID cards, billing invoices, collecting premium payments, and handling eligibility questions through centralized PEO systems.
- Tracking employee usage of benefits and coordinating with providers on approvals, claims, and explanation of Benefits statements.
- Filing required ACA compliance paperwork like returns and conducting non-discrimination testing.
- Negotiating with carriers, auditing bills, and managing multi-year renewal processes on behalf of members.
- Providing on-call support for benefits questions through HR representatives or call centers.
- Implementing cost-cutting measures like wellness incentives, spending accounts, and care management programs.
While we work on setting up health insurance for your employees, you can focus on what matters: your employees and small business. We’ll help you with your Austin PEO health insurance services so you can continue to thrive with your employees protected.
Dedicated HR Support With PEO Partnership
In addition to handling health insurance administration, PEOs provide human resources support and services that many small businesses lack internally. Through the partnership, companies gain ongoing access to:
- An assigned HR representative to assist with hiring needs, onboarding processes, policy updates, and other personnel matters.
- 24/7 HR support via phone and online for time-sensitive questions from managers and staff.
- Guidance on compliance with employment laws and regulations through regular updates and training.
- Support with employee issues like leaves of absence, workplace injuries, and disciplinary actions.
- Payroll processing for all payroll tax filings, wage reporting, and direct deposit.
- Management of an online employee self-service portal for viewing pay stubs and updating W-4s.
- Access to an array of additional HR programs and tools for areas like talent acquisition, training, and retention.
Contact Us for Austin PEO Health Insurance Services
At NetPEO, we specialize in finding the right PEO for your small business in Austin. We can look through our large network of PEOs to find the right one for your health insurance services.
Contact us today to get in touch for Austin PEO health insurance services.