How does it work?
- Your client enrols in flexFIT and selects the FLIP feature upon enrolment
- A detailed report is provided after 6 months to analyze and compare the plan’s performance under both flexFIT and our budgeted ASO flexStyle funding options
- Should the plan perform as predicted the mid-year report will illustrate the savings that could be seen under the budgeted ASO flexStyle model. This enables the Advisor and Benecaid Account Manager to provide a recommendation to stay the course with our fully insured flexFIT or to FLIP to our budgeted ASO flexStyle plan
- Should the recommendation be to exercise the FLIP option, Benecaid facilitates a seamless and simple transition to an ASO flexStyle plan – any unused deposits from the date of the FLIP can now be refunded at the end of the plan year
- Same monthly payment
- Simple switch process—no re-enrolment or new contracts
- The group is eligible for a refund of unused deposits from the date of switch
- No effect on employees
- Pay direct card and plan information is unchanged
- No change in coverage or plan design
- Limit and maximums remain the same
Why we did we introduce this feature?
The fear of the unknown will push a large number of business owners towards a fully insured option in their initial year of coverage. They are typically afraid that they will need to contribute additional funds into the plan and would rather take a guaranteed rate and hope for the best at their renewal. To bridge this gap we’ve created the FLIP feature for our traditional fully insured flexFIT plan, available exclusively at Benecaid. This first-of-its-kind feature allows uncertain business owners to enrol in our flexFIT fully insured plan with the option to FLIP to our flexStyle budgeted ASO plan after reviewing detailed reporting anytime after the first 6 months, ensuring that your clients will have the right plan for their business.
Benecaid incorporates a budgeted ASO model and predicts claims experience for new groups conservatively, incorporating all of the demographics information and claims experience patterns from our vast pool of virgin group clients. If actual claims exceed predicted claims, the ASO model allows for Advisors to make adjustments throughout the plan year instead of waiting for a large renewal at year end. For example, Advisors are able to implement drug caps or co-payments that can curb claiming patterns and control costs before they become unmanageable. This is an attractive alternative to the “sit back and wait” approach, where the renewal will be evaluated using the plan’s experience for the entire 12-16 month initial guarantee, and will likely result in a large premium increase.
Do you have a client that is unsure if they are ready for a self-insured ASO benefits plan? The FLIP feature might be for them.