Retirement Plan
Although the number of employers offering health insurance to their retirees is decreasing each year, there are many employers who are still providing this coverage to their former employees. In a lot of instances, there is a substantial cost to retirement plans. Many times the cost of an employer sponsored retirement plan is far more costly than a private sector plan.
While many of these plans can be very good, exceptionally good in fact, there are just as many that can be equally bad. Don’t be fooled into believing that just because you have an employer or union sponsored plan that it is the best thing for you. You will need to evaluate and compare it to the plans in the private sector to be sure.
There are no laws stating that all plans must be created equal. While the benefits are generally the same from one plan to another, the cost sharing can vary widely. Some plans have very low or no deductible while other plans can
Although the number of employers offering health insurance to their retirees is decreasing each year, there are many employers who are still providing this coverage to their former employees. In a lot of instances, there is a substantial cost to retirement plans. Many times the cost of an employer sponsored retirement plan is far more costly than a private sector plan.
While many of these plans can be very good, exceptionally good in fact, there are just as many that can be equally bad. Don’t be fooled into believing that just because you have an employer or union sponsored plan that it is the best thing for you. You will need to evaluate and compare it to the plans in the private sector to be sure.
have a significant deductible. Equally important, some plans can have very low and minimal copays while others have very high and a lot of copays. The same holds true for coinsurance. Some have very little while others can have a significant amount.
Then there is the issue of prescriptions. Some plans are exceptionally good with a large formulary and include a coverage gap. But, at the same time, are very costly. Others may not have as extensive of a formulary and include a coverage gap, but the cost is significantly lower.
Premiums can vary widely as well. Some plans have a relatively small premium while others can have a significantly higher premium. While some employers allow you to add your dependents for a nominal cost, others may require you to pay a much larger amount.
If you have an employer sponsored retirement plan, it is recommended that you have it evaluated to make sure the plan you have has the best coverage that is available and that the cost is competitive. There are many plans in the private sector that have better benefits and that are less expensive. Having over 20 years experience with employee benefits, we are uniquely qualified to assist you in the evaluation of your plan. Having your plan evaluated will give you the peace of mind that you are getting the very best plan available based upon your needs.
There are no laws stating that all plans must be created equal. While the benefits are generally the same from one plan to another, the cost sharing can vary widely. Some plans have very low or no deductible while otehr plans can have a significant deductible. Equally important, some plans can have very low and minimal copays while others have very high and a lot of copays. The same holds true for coinsurance. Some have very little while others can have a significant amount.
Then there is the issue of prescriptions. Some plans are exceptionally good with a large formulary and include a coverage gap. But, at the same time, are very costly. Others may not have as extensive of a formulary and include a coverage gap, but the cost is significantly lower.
Premiums can vary widely as well. Some plans have a relatively small premium while others can have a significantly higher premium. While some employers allow you to add your dependents for a nominal cost, others may require you to pay a much larger amount.
If you have an employer sponsored retirement plan, it is recommended that you have it evaluated to make sure the plan you have has the best coverage that is available and that the cost is competitive. There are many plans in the private sector that have better benefits and that are less expensive. Having over 20 years experience with employee benefits, we are uniquely qualified to assist you in the evaluation of your plan. Having your plan evaluated will give you the peace of mind that you are getting the very best plan available based upon your needs.