BlogsSmall Group Category Fee Increases – and Centennial’s Solution
June 15, 2015, by Matt Hanson
Small Group Category Fee Increases – and Centennial’s Solution
Centennial understands the insurance needs and goals of small businesses. The employer mandate of the Affordable Care Act will take effect in 2016, and all companies with 50 to 99 full-time employees will have to provide health care to those employees (the U.S. Small Business Administration gives an introduction). Knowing the financial challenges that this new legislation poses, we remain committed to offering the best proprietary products and special plans for companies in the 50-99 employees range.
According to the American Academy of Actuaries, the definition of a small employer will expand from 1-50 employees to include the range 50-99 in 2016. This change will affect more than 150,000 companies and three million workers. The groups within this latter range will face more restrictive rating rules for younger workers—and less restrictive for older ones. In California, the situation has already shown some adverse effects. The National Center for Policy Analysis cites a 2014 survey of 148 insurance brokers conducted by Morgan Stanley. Insurance premiums for firms in the small business market had risen 11% in general. Between December 2012 and the survey period, premiums had increased 37% in California.
Don’t just renew!
To help you not only to absorb these complex changes but also find a viable and easily implementable solution, Centennial has partnered to create True Choice, a plan designed specifically for groups in the 50-99 category. With this plan, small businesses receive many of the same benefits as larger ones with the flexibility of a plan scaled to their needs. We also help minimize paperwork and to comply with all Affordable Care Act rule.
True Choice offers employees the ability to choose from one of seven major health insurance carriers and 40 plan designs, all easy and cost-effective. So then how do you, the small business, get started? We eliminate all of the hassle: we come to you, assess your company’s needs, and then create a custom strategy for your firm and your employees. You set the budget, and your employees can choose from an array of plans by enrolling online. With our Define Contribution tool you can control cost and communicate to your employees at the same time. Your employees explore their options to find the personalized benefits package just right for their families. We’ve eliminated all the guesswork and made this easy for both you and your employees—and all within ACA compliance.
Once everyone is enrolled, you have the ability to oversee all your employees’ benefits packages with our HR management platform. You can track and manage benefits, premiums, life event changes, employee communication, compliance records, and more.
With all these features, Centennial is proud to offer True Choice so you and your employees can flourish. Start branching out with your benefits…today.
Who is Centennial?
We at Centennial are driven to excel in our field and by that excellence to offer the best to our clients. As a National member of the Benefit Design Center, we have collaborated with 40 of the top growth-oriented, privately held employee benefit firms. This influence we pass on to you, our clients in Orange County, as proprietary products, specially-designed plans for specific industries, and ultra-competitive pricing.
We are a team of professionals dedicated to exceeding our clients’ expectations and to creating a premier service organization for Orange County small businesses. We value and respect our clients, their expertise and accomplishments. In our working environment, we apply this same respect to one another, striving to help our employees reach their full potential. With full potential comes excellence and a high level of quality that we can in turn offer to our clients. We are also unafraid to take chances, to set trends in our industry, and to find innovative ways to move forward: we have a healthy dissatisfaction with the status quo. And with this drive, we give back, especially for bettering our relationships with our clients.