Estimated reading time: 1 minute, 13 seconds

Small businesses are catching on to benefits reimbursement trend

Small businesses are catching on to benefits reimbursement trend "This was captured well waiting for the doctor who was busy at the time"

Take Command Health, an HRA administrator that offers employee enrollment support, unveiled their annual QSEHRA report just in time for open enrollment. Now more than ever, small businesses are looking for ways to help their employees with benefits on a budget that works for them. The Qualified Small Employer HRA (QSEHRA) is based on small business owners reimbursing their employees for health insurance rather than buying it for them. 

“Last year, our clients offered their employees nearly $12 million in benefits through a QSEHRA,” shares Jack Hooper, CEO, Take Command Health. “This is a flexible alternative to expensive small group plans that offers budget control and predictability for employers and plan choice and portability for employees.”

Key findings include: 

  • Professional services, associations and nonprofits, healthcare providers and services, tech, and financial services lead in signups
  • Employer size ranged from 1-36 employees, with the average being four employees.
  • California, Texas, North Carolina, New York, and Florida lead in signups
  • Average monthly reimbursement is $332.58 for singles, $491.72 for couples, $505.52 for families.
  • Utilization rates were just under 64%, meaning that employees aren’t using their full benefit. (The employer keeps the leftover funds).
  • Recent client survey found that 1 in 5 clients who responded are women-owned businesses, 1 in 10 are veteran owned businesses, and 1 in 13 are minority-owned businesses.

“We’re seeing QSEHRA signups continue to trend upward despite the pandemic and economic uncertainty,” adds Hooper. “Carriers are returning to markets, individual premium prices are stabilizing, and awareness is growing.” 

Read 178 times
Rate this item
(0 votes)

Visit other PMG Sites:

click me
PMG360 is committed to protecting the privacy of the personal data we collect from our subscribers/agents/customers/exhibitors and sponsors. On May 25th, the European's GDPR policy will be enforced. Nothing is changing about your current settings or how your information is processed, however, we have made a few changes. We have updated our Privacy Policy and Cookie Policy to make it easier for you to understand what information we collect, how and why we collect it.