Group health plans are the most popular way U-Haul Dealers solve the problem of providing health coverage for themselves, family members and business employees.
These group plans are designed for small dealership businesses to:
- establish a cost-effective company health plan to help attract and retain employees,
- give the Dealer control over the plan design,
- maximize the tax advantages to the business, and
- permit employees to avoid government restrictions that limit access to individual health plans.
The Group option lets the Dealer select the health plan design and decide how much of the cost should be shared by employees via payroll deduction. Group Health plans are not subject to governmental restrictions that limit access to individual health plans, especially important in areas of the U.S. hard hit by the lack of individual health plan choices and by high health cost increases.
Under the Group plan, coverage starts the first of the month after employees are enrolled. Pre-existing conditions are covered.
Business Tax Credits…
Your business is eligible for important tax credits to help pay for employee coverage. The federal government and states have made it public policy to encourage employers to sponsor health plans for workers. Talk with your tax advisor about the significant tax and financial advantages to the business that result from implementing a group health plan.
Whether you are establishing a new group health plan, or if you are looking to make a better business decision at renewal of an existing plan, we can help. The U-Haul Dealer Benefits Program makes it easy to get the group health quote and plan information you need to make your decision and install company coverage.
Here’s How Small Business Group Health Works…
U-Haul Dealers across the U.S. have told us “one size does not fit all,” so we do not have one national, uniform group health plan that is the same for all Dealers. Instead, our goal is to provide many choices of plan design and coverage options so Dealers can leverage the tax advantages to the business.
The Dealer selects the plan effective date, picks the plan design features (deductible, coinsurance, copays) on behalf of employees and sets the employee contribution levels for worker (usually 0%) and dependent coverage (usually 50% – 100%).
We review the employee census data and company information you provide for your online quote at the Dealer Benefits website. Then we get back to you quickly with the best group health plan solutions we can find in your area. A licensed representative of the program’s business partner eHealth will present plan recommendations, answer your questions and help you get started.
Traditional employer group health plans are set up under a group contract with the insurance carrier and have uniform benefits and group rates based on state insurance department regulations. The Dealership must qualify under your state insurance department rules for employer health plans (minimum number of employees, multiple business under common ownership).
The type of employees matters. One of the employees can be the employer or business owner, but at least one other employee who is not the owner or owner’s spouse must also enroll. State regulations control the minimum group size, but generally the minimum participation to get a plan underway is 3 insured W-2 employees.
The Dealer will be asked to make a full year commitment to the plan’s cost and administrative requirements. The Dealer is responsible for employee communications, initial enrollment, reporting new/terminated employees, payroll deductions and premium payments.
The carrier sets participation requirements, employee eligibility rules (generally full-time, working 35 hours a week) and bills the Dealer each month for group coverage. Normally, 70% of eligible employees (always rounded up), must be enrolled to get started. Participation can be waived by employees who qualify with insurance coverage through a spouse, an individual or government plan. Rates for group coverage are based on an average age/sex composite group rate for everyone covered, including dependents. Final rates may differ from the initial quote, reflecting the final actual enrollment.
By using the U-Haul Dealer Benefits Program private health exchange, you see the top-rated health insurance carriers in your state and what we believe are their best value plans. Choices vary by state, based on state insurance authority plan and rate approvals each year. We continuously review plans and prices in each state and we identify the best value plans from top-rated carriers to include in the U-Haul Dealer Benefits Program.
Health insurance remains the top benefit employers of any size can offer to attract and retain employees.
About 86% of private-sector employees work for businesses that offer sponsored health insurance, according to the U.S. Census Bureau (2022 report). Of course, smaller businesses offer sponsored health insurance at a lower level than the national average. But health insurance coverage has been a significant recruitment incentive, helping businesses of all sizes to both attract and retain employees.
Businesses having fewer than 50 employees are NOT required under the federal health reform law (ACA) to pay for health insurance for their employees, but you may still choose to do so under a Small Business Group health plan.
Call the Benefits Department for more details at 888-551-9801.
