A group health insurance policy is purchased by an employer (or employee organization) and is offered to eligible participants, and to eligible dependents of participants. With group health insurance, the risk is spread over the company -- the number of participants covered. There are several types of group health insurance plans including HMO, PPO, and EPO.
Group health insurance plans are designed to be more cost-effective for businesses. Employee premiums are typically less expensive than those for an individual health plan. Premiums are paid with pretax dollars, which help employees pay less in annual taxes. Employers pay lower payroll taxes and can deduct their annual contributions when calculating income taxes.
Health insurance helps businesses pay for health care expenses for their employees. When you pay a premium, insurance companies pay a portion of your medical costs, for regular doctor checkups or injuries and treatments for accidents and long-term illnesses. The amount and services that are covered vary by plan.
Dental Insurance is amongst the most popular type of employee benefits offered by employers. It can be instrumental to help recruit and keep high quality employees. The needs of many people who require multiple visits to the dentist throughout the year raise the popularity of dental insurance. Additionally, many employers realize that dental coverage goes hand in hand with employee health insurance and can be a key component of the employee benefit package at a much lower cost than group health.
Group disability insurance is a policy for a company, group, or organization which is meant to provide compensation for its members if they are unable to work and unable to get paid because of a disability.
With disability insurance a key employee perk, your benefit package becomes even more competitive. Promoting this advantage will help your company recruit and retain talented team members. Many people who have endured temporary disabilities credit the relief that financial protection ensures for helping them focus on recuperating and resuming productive lives.
When businesses and workers weigh individual components in their employee benefit packages, many do not realize the importance of disability insurance. Countless people consider their largest assets to be their homes when their future income-generating abilities may predominate. Unexpected serious illnesses or injuries might leave personnel unable to bring in wages.
For employees making $100,000 per year with 30 more working years until retirement, that could amount to a colossal $3 million in lost earnings. Not insuring that much potential income could be a very expensive mistake. When job compensation funds employees’ lifestyles, any losses ― from temporary to permanent ― could be devastating financially. Since disabilities may last months to years, having guaranteed monetary resources during any non-work periods can be extremely valuable.
Two insurance types are available. One’s “own-occupation” coverage is considerably better since it defines “total disability” as one’s inability to perform his regular job. The second option, “any-occupation” coverage, outlines that condition as one’s ability to execute any job’s duties. So disabled staffers who could handle less-demanding jobs might not receive benefits. Some plans use own-occupation criteria for the benefit period’s initial two years. Then they switch over to follow any-occupation standards. Offering various coverage amounts will allow employees to choose the most suitable options for their unique family and financial situations. Usually, plans pay insureds some percentage of their monthly earnings when they’re unable to continue working. Personnel with dependents may select plans that cover 60 or more percent of their pay. Policies that replace 50 percent of salaries may be sufficient for singles without kids and mortgages. Plans with benefit caps might cover 60 percent of gross pay without exceeding $3,000 per month.
GROUP LIFE INSURANCE
Group life insurance is a benefit offered by groups to their members -- most commonly by employers to their employees.
With a group life insurance policy, the insurance contract is between the group and the insurance company, and the participating group members receive certificates of coverage.
The advantage of Group life is it's easy to qualify for coverage. Unlike an individual life insurance policy, where you might be rejected, group life coverage is guaranteed and there are no medical questions. The insurer bases the premium on the risk of the group as a whole and considers such factors as the ratio of women to men, members' ages and the kind of work they do.
Group Personal Umbrella:
CORPORATE SPONSORED PROTECTIONS/EXECUTIVE COMPENSATION
We know that much of your company’s success depends on the talents of your most valuable asset: YOUR EMPLOYEES!
However, keeping the people who keep the business going is easier said than done. Higher pay is only one of the answers. Traditional group insurance plans often fall short of providing executives and key employees with adequate coverage. Petschauer Insurance specializes in providing innovative solutions that encompass carve-out programs for key executives.
What We Do
We design, implement and administer executive benefits programs that help companies like yours offer key executives long-term financial stability. The advantage of attracting, retaining and rewarding top talent through their working career helps with turnover cost savings, employee satisfaction, and ultimately enables loyal, quality people to be contributors to the future of not only their own retirement but the growth of your business.
From plan design and consultation to complete plan administration, we’ve got you covered.
Corporate Sponsored Protection
- Executive Disability Income
- Executive Long-Term Care
- Voluntary Cash Value Life Insurance
Executive Deferred Compensation
- Executive Deferred Bonus Plans
- Carve out Executive Retirement Plans
- Split-Dollar Life Insurance
VOLUNTARY CORPORATE-SPONSORED INDIVIDUAL INSURANCE PROGRAMS
Traditional group insurance plans can often fall short of providing executives with adequate coverage. Petschauer Insurance specializes in providing innovative solutions that encompass carve-out programs that businesses can leverage to attract and retain key talent with little to no cost to the firm! Our Voluntary Benefits program provides an additional layer of benefits for your senior executives and key employees without having to make any changes to the group benefits already in place.
Our corporate programs usually allow for discounted rates not available in the individual retail market, and depending on the size of the group, employees may be eligible to obtain coverage for limited to no underwriting! Our voluntary offerings cost companies nothing. The employees choose to apply and pay for the offerings.
We design, implement and administer executive benefits programs that help companies like yours offer key executives long term financial stability. The advantage of attracting, retaining and rewarding top talent through their working career helps with turnover cost savings, employee satisfaction, and ultimately enables loyal, quality people to be contributors to the future of not only their own retirement but the growth of your business.
Petschauer Insurance’s expertise, personalized support and administrative capabilities yield higher participation levels in employer–sponsored voluntary insurance offerings than you may have thought possible.
Voluntary Supplemental Disability Income Insurance
Most Group Disability plans fall short of protecting high income earners. Bonus compensation and base salary above a certain maximum aren’t covered, and disability benefits are often subject to federal, state and local taxes. Corporate-sponsored disability insurance (DI) closes the compensation gap your executives face and are becoming popular additions to the suite of group benefits that organizations need to stay competitive. Highlights of the program and key attributes include:
- No cost to the firm. These are individually purchased policies and enrollees are billed directly and not through any of the firm’s payroll systems.
- Very limited time commitment on the firm’s part. HR’s involvement literally encompasses the supplying of a census, and sign off on the offer and communication strategy. At that point, Petschauer Insurance and the designated insurance company complete any enrollment interaction with the individual executives.
- All eligible employees will receive a permanent discount that will range from 25 to 30% for males and 40 to 50% for females over comparable retail product prices.
- There may be some level of Guaranteed Issue Coverage, meaning that some amount of monthly benefit will be given to any executive who enrolls regardless of their medical condition. This will be of tremendous value to anyone with any type of pre-existing condition.
- All policies are individually owned, portable, and carry the discounted premium for the life of the contract.
- No changes to existing group coverage and vendor necessary. These policies compliment benefits currently in place.
Whole Life Insurance
Cash Value Whole Life insurance from the highest quality carriers. Benefits to your employees
- Life insurance coverage that lasts beyond their employment and well into their retirement.
- Source of supplemental retirement income.
- Depending on the number of employees and level of participation, be provided with little to no medical underwriting!
Long Term Care Protection
An increasing number of employers are offering long-term care insurance as part of their benefits programs. This coverage can protect the employee and their families from the devastating costs of nursing home, assisting living, home care, and other services required to facilitate such daily activities as eating, dressing, and bathing. Long-term care insurance offered as corporate benefit are generally less expensive than coverage purchased in retail setting. Policies are also available to cover the employee’s spouse and their parents. If someone in their family requires care, your key employee may not have to stop working to assume caregiver responsibilities. Having Long Term Care protection on themselves and their family provides resources to pay for their care allows the employee can remain productive in their career.
Cash Indemnity Policies
We offer Policies that pay cash for employees and their families in the event of Critical Illness, Cancer, Hospitalization, Disability and Dental expenses. These are affordable plans that supplement existing medical benefits.
DEFERRED COMPENSATION and EXECUTIVE RETIREMENT PLANS FOR KEY EMPLOYEES
Most of your employees can replace their entire income after retirement with a tax-deferred plan, like a 401(k). But your top executives can’t.
Most of your employees fund their retirement with a tax-deferred plan, like a 401(k). But top executives may not have this option. Due to government rules, their contribution potential can be restricted, which limits their ability to accumulate sufficient funds for retirement. In fact, they may be able to replace only 30 to 50 percent of their salary because of government rules. That’s where a well-designed executive benefits solution come in. That gives your business a serious recruiting and retention advantage — if you offer a competitive executive benefits program.
- To motivate an executive to work hard and stick around, you can pay the premiums on a specially designed, employee-owned life insurance policy. The premium amount becomes a compensation bonus to the executive that is vested over time.
- Freedom to select participants among highly compensated management.
- No IRS Approval — IRS approval is not required; avoids most of the cost and administrative requirements associated with establishing a qualified plan under ERISA
- We properly structure these plans so that the policy’s tax advantaged cash value accumulation and death benefit help provide your executives with significant income and survivor benefits.
- Ability for employee to defer pretax compensation in amounts above qualified plan limits