
4 minute read
Pandemic Challenges Affecting Health Insurance for Franchisees
No one needs a reminder that 2020 was a year filled with unprecedented challenges caused by the coronavirus pandemic. Small-business owners, and specifically those in the restaurant industry, were keenly affected by the economic fallout from the pandemic. From sales and labor disruptions to supply chain interruptions, little about life has been normal since March 2020.
Now, though we continue to see positive signs about the nation’s recovery from the pandemic, new hurdles are emerging. Even though economic recovery seems well underway as the severity and number of COVID-19 infections decrease, we’re all keenly aware of how labor shortages are affecting operations in businesses across the spectrum. There are other consequences of the pandemic to consider as well, such as the pressure being put on health insurance expenses.
A combination of factors is pushing costs higher as we transition to a post-pandemic world. During most of 2020, as health officials encouraged the public to stay home and doctors’ offices enacted restrictions on in-person visits, many consumers elected to delay preventive care for weeks, or even months, at a time, creating pent-up demand for care and services this year. Experts also fear that delayed diagnoses of medical problems could require more intensive treatment for medical conditions that could have been caught earlier and addressed less expensively.
Additionally, the overwhelming claims related to COVID-19 are contributing to rising costs. Reinsurers, who typically cover the very large claims for the traditional insurance carriers, are increasing their rates to insurers by double digits to cover the volume of claims for the treatment of COVID-19.
Elevanta Health recognized the challenges that small-business owners faced during the pandemic. In the spring of 2020, when the nation and its economy came to a screeching halt, Elevanta returned $2 million to members in the form of premium deferrals and participation refunds.
As our partners face these new obstacles during the recovery, we remain just as committed to helping them overcome the difficulties ahead. Elevanta Health major medical and minimum essential coverage plans have comprehensive preventive care services with zero costs to the employees/insureds. All preventive care services are covered at 100% by the plan, including over 60 tests, treatments and some medications.
Overall, Elevanta Health has 14 medical plans that are all ACA compliant. Each plan uses the national Blue Cross Blue Shield PPO network of providers, ensuring that with their 97% market share, insureds will have easy access to the providers of their choice. Elevanta is a one-stop shop for employee benefit programs, offering not only medical plans but also dental, vision, life and accident plans.
We recently announced our 2021 health insurance renewal at a record-low premium increase. Employers who participate in Elevanta Health will enjoy an average renewal rate increase of only 1%. More exciting, over 64% of members who participate received a ZERO percent rate increase. After such a difficult 2020, it was very important to Elevanta and our board of directors that we offer the best renewal terms possible. In fact, Elevanta Health has maintained single-digit rate increases for the past eight years. Members have come to rely on the stability Elevanta Health provides.
On top of the increasing costs, the coronavirus forced employers to become more technically savvy in the way health benefits for employees are managed. More carriers and insurers are requiring online applications and enrollment processes. Elevanta Health offers online enrollment for all employees and provides a back-end portal for employers to monitor the enrollment process of their employees.
COVID-19 relief efforts also put new mandates on employers related to employee benefit plans. For example, there are new requirements in place specific to COBRA that apply to employees who were let go during the pandemic. Elevanta Health stays abreast of these mandates and provides updates to employer participants to ensure your compliance.
One positive trend that has developed over the last year has been an increased reliance on telemedicine. With the offices of medical providers across the country still closed or operating with reduced hours while demand for services goes up, it’s become more difficult for consumers to make appointments for unexpected illnesses. Telemedicine has become a more widely accepted alternative that offers consumers more convenient access to medical advice and treatment at a much lower cost than a traditional visit to a doctor’s office.
All Elevanta Health major medical plans include a state-ofthe art telemedicine program via our partnership with Teladoc. With Teladoc, insureds can schedule an appointment with a provider seven days a week from the convenience of their home. Both phone and video conference appointments are available.
As we all continue to emerge from the pandemic, Elevanta Health will continue to focus on what is best for employers and your employees and ensure we are providing a cost-effective and quality health care program. Obtaining a quote is a simple and quick process. Visit the FBS/Elevanta website today: www.elevantahealth.com/fbs S
by Christy Williams