The Health Insurance Dilemma

• Insurers, drug manufacturers, and physicians are working against each other.
• Health insurance plans do not offer any employer or employee incentive to control costs.
• Health insurance costs have doubled in the last five years.
• Employers are forced to increase employee contributions, co-pays, and out-of-pocket costs.
• Employers and employees are disillusioned and unhappy with their health insurance benefits.

Solution...

Health Reimbursement Arrangements and Flexible Spending Accounts

• Allows the employer the flexability to design a customized plan..
• Reduces health insurance premiums for employers and employees.
• Empowers employees -- reduces over-utilization.

Health Reimbursement Agreement (HRA)

• The employer selects a high-deductible health plan and sets the benefit parameters for the HRA administration.
• IHS prepares educational materials for employees.
• At the time of service, employees present their health insurance ID card and pay any co-pay or out-of-pocket expense as they do now.
• When employees receive the explanation of benefits (EOB) from their health insurance plan, or any receipt for prescription, the employee submits the documentation to IHS for HRA claim processing.
• IHS processes the claim and reimburses the emplyee for any eligibile expenses... all with tax-free dollars!

Optional carryover provision

Employers may choose to allow any dollars left at the end of the plan year to be be carried over to the next plan year. This provides an incentive for the employee not to spend it all.

A win-win for employers and employees!

Employees who spend their own account money from the HRA will make better medical and inancial choices, thereby reducing over- utilization of their health plan.

Flexible Spending Account (FSA)

A Flexible Spending Account (FSA) plan gives employers the ability to leverage pre-tax savings to control premium rate increases and boost employee spendable income.

Your employees will save 25-40% on each pre-tax dollar included in the FSA. These dollars are contributed for group health insurance premiums, out-of-pocket medical/dental/vision costs, and dependent care expenses.

FSA is a smart benefit that produces financial advantages and a high level of employee satisfaction

What makes IHS administered HRAs and FSAs so powerful?

• IHS does it all—providing complete plan administration, including all aspects of plan setup and design, plan documents, employee enrollment, eligibility, claim forms, claim processing, and issuing claim reimbursements.
• mySourceCard^TM —participants are issued a debit card that makes reimbursement immediate with greatly reduced paperwork.
• customer support—you are assigned a personal account representative for better service.