Do you have time to stop and smell the roses? I hope not! Your clients need you right now more than ever before. The impact of health care reform is only 5 months away – that’s right, we are 5 months out from major changes affecting clients’ health plans.

I must admit some surprise (shock, actually) at the number of people who do not know what they are going to do with their limited medical renewals this fall. Some of the major carriers are staying totally silent on the matter. What does that mean for your renewals?

The question is, how long can brokers and clients take the wait and see approach? Especially for large companies who need months – not weeks – to implement and/or adjust their plans. Brochures are being drafted right now for October renewals and plans are being reviewed for January renewals. Yet some carriers have not issued any kind of official guidance whatsoever on renewal rates and/or the future of their limited medical plans in light of the new regulations imposed by health care reform.

The fact is that we do know enough to make some strong conclusions. At this point, expense incurred limited medical programs are not going to be able to be renewed in their current form after September 23rd of this year. We have heard that some carriers will not be selling new business after this date. Therefore, it is time for brokers and clients to take action on their limited medical business. If you have a client in an expense incurred limited medical program, you need to start asking questions of your carriers today. How will health care reform legislation affect my renewals? What guidance can you give me on rate increases? Are you still accepting new business after September 23rd?

Brokers should be recommending that their client transition to fixed indemnity limited medical programs immediately. We have had a lot of success making this transition for clients in the past and we will be helping a large number of plans do it this year.

Here are the ways Framework Health Plan can help:
1. Established fixed indemnity plans (our expense incurred plan went away too)
2. Solid enrollment practices via call center and the Web for groups from 1000 lives to as high as you can sell.
3. Payroll cycle billing and online missed premium
4. Experience taking groups from co-pay plans to fixed indemnity benefits

There’s no time to wait – get your clients enrolled in a rate stable, fixed indemnity plan and let it run for the next couple of years while we better understand the long term impact of this legislation. If your carrier won’t give you straight answers – come talk to us and let us be your limited medical resource.

Brian Robertson
Executive Vice President
Fringe Benefit Group
11910 Volente Road
Austin, TX 78726
1 800 551 3424
512 233 1864 direct
512 470 6839 mobile
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