SeniorTRANSITION

For organizations providing retiree health coverage who are looking to realize significant savings.

This service follows an established path of migrating retirees from a company-sponsored plan to individual health insurance.  For a variety of reasons, managing the health benefits of retirees makes little sense in an era where Medicare, through Part D drug coverage, now provides complete insurance.  Companies who are interested in getting out of manging health insurance benefits for Medicare beneficiaries altogether (while perhaps continuing to subsidize those retirees' individual plans) should find this approach appealing.  Employers can continue to help defray the costs for retirees, through employer contributions to Health Reimbursement Accounts (HRAs), while eliminating administrative costs associated with managing this plan and gaining cost certainty by controlling their contribution, rather than being liable for annual insurance cost increases.  This in many ways mirrors the transition from defined benefit to defined contribution from an employer's perspective, with an added benefit of optimizing health plan choice based on the retiree's needs and interests.

For more details see our brochure here or call 1-415-861-3900.