HRA Company, Clarity Benefit Solutions, Discusses Three Small Group Trends to Watch this Year

NEW YORK, March 30, 2018 /PRNewswire-iReach/ -- HRA administration company, Clarity Benefit Solutions, discusses three small group trends to watch this year.

Earlier this year, the Affordable Care Act's (ACA) individual mandate was repealed, meaning that in 2019 everyone will not be required to have health insurance. As a result, many small employers will likely turn to group plans rather than offering coverage on the individual market. Managing healthcare costs will continue to be a pressing issue, and small employers will strive for more direct control over their businesses' health care costs. Forward-thinking employers will look to partner with a broker for cutting-edge solutions to these challenges. Here are three group trends to keep an eye on in the upcoming year.

• The emergence of self-insurance. Small employers will look to self-insure as healthcare costs continue to climb and renewal rates become unsustainable. They will also rely on brokers to provide them with new, innovative methods to combat self-insurance issues such as maintaining cash flow for claims or finding proper provider networks.
• The rise of reference-based pricing. Reference-based pricing (RBP, a system that some employers use where they cap the amount they will agree to cover for non-emergent medical procedures, will gain in popularity. Brokers should prepare accordingly by educating themselves on the pros and cons of this system to field questions from employers as well as offering them information on additional cost-containment strategies. Employers can consider offering an RBP plan in addition to a network plan to transition away from the traditional network version over the next year.
• The prevalence of Association Health Plans (AHPs). The repeal of the ACA's individual mandate has the potential to expand the ability of small groups to band together to obtain health insurance through AHPs, taking full advantage of the power of bargaining in a group. This banding together could combat rising healthcare costs. In addition, the ability to form associations across state lines could result in small groups realizing more cost-effective benefit strategies for these small groups. 

About Clarity Benefit Solutions: Clarity Benefit Solutions HRA company provides technology that makes the health insurance plan selection process fast, easy, and straightforward. For over two decades, we have provided clients with industry-leading technology, compliance, and exceptional customer service. Our offering is designed to save time and lower the costs of managing benefits while also promoting employee self-service and automated ACA compliance.

Media Contact: Calvin Clark, Clarity Benefit Solutions, 7324288282, cclark@claritybenefitsolutions.com

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SOURCE Clarity Benefit Solutions