Debunking Health Plan Renewal Myths: You don’t have to wait to find better benefits

By Jesse Kohl, President, Interlutions
January 22, 2024

Health insurance can be a complex field to understand, leading to misconceptions, misinformation, and ultimately overspending on the wrong providers. Fortunately, credit unions have a CUSO partner to help them navigate the options, debunk the myths, and chart a new path.

Let’s take a look at a few common myths in the health insurance industry, and what we can do differently to help our employees.

Myth #1: I’m locked into my health plan until my renewal date.

Did you know that your credit union is not bound by the confines of your health insurance renewal date, regardless of the effective date? This means your health plan probably operates on a month-to-month contract, affording you the flexibility to explore other options without incurring fees or penalties upon cancellation.

What’s more, if you've utilized deductibles under your current plan, a "deductible credit report" can seamlessly transfer to your new plan, ensuring that nothing is lost in your employees' plan utilization.

Myth #2: Level funded plans are higher risk than fully funded plans.

Did you know that the monthly premium payments and risk associated with a level funded health plan can be structured exactly like a fully funded plan? Level-funded insurance plans combine the potential cost savings and flexibility of a self-funded plan with the financial stability and predictability of a fully funded plan.

Depending how you structure a level funded plan, you could even get a refund of unused claim dollars at the end of your plan year.

The Bottom Line 

The reality is – there’s no need to wait until your renewal date approaches. InterLutions invites you to take a proactive approach in discovering how I-Care can enhance your employee benefit plan offerings and potentially reduce premium costs now. 

With no risks involved, it's time to ask yourself: 

• Did I just renew my employee health plan out of necessity because I couldn’t find a better alternative?
• Am I satisfied with my current broker's offerings, or am I seeking alternatives that go beyond the standard, fully insured options with recurring rate increases?

Don't settle for the standard – discover a better alternative with no fees, no penalties, and the potential for enhanced benefits. Contact InterLutions today to discover how we can elevate your benefits plan and unlock potential improvements and cost reductions.

About Interlutions

InterLutions is a wholly owned Credit Union Service Organization (CUSO) founded in 2015 to provide innovative solutions to the credit union industry and movement.

Its flagship product, I-Care, provides enhanced medical insurance benefits to credit union employees at lower costs. By pooling employees from many credit unions, volume helps reduce claims risk and volatility of premiums, lowering costs for employees and credit unions. Lower costs and multiple plan options give credit union employees the benefits they deserve.