Understanding Group Insurance
A health plan is divided into two parts:
What are Insured Benefits?
- Life insurance
- Long-term disability
- Travel health coverage
- Accidental death and dismemberment (AD&D)
- Stop Loss
How are the rates for Insured Benefits determined?
The most important criteria :
How does GPM manage your Insured Benefits?
GPM’s role is to find you competitive rates with major insurance companies.
We also offer a
reinsurance (Stop Loss)
plan which places a ceiling on the costs that may accrue due to major health problems.
What are Experience Rated Benefits?
- Drug costs (including prescription drugs and paramedical services)
- Dental care
- Short-term disability
- Vision care
How does GPM manage your Experience Rated Benefits?
Claims can occur frequently but are relatively inexpensive. With the right resources, the claims of a group tend to remain relatively stable when monitored over time. The GPM Model allows you to predict and budget for these types of expenses.
With the GPM Model, our clients save an average of 22% per year compared to the traditional insurance model.
The GPM Model
- Employers only pay for the benefits they use.
- They set an annual budget, and if they claim less than that amount, GPM returns the surplus. Employers have the option to retain the surplus in cash, bank it for the following year to reduce future rates, or invest in additional benefits or services.
- Administration fees are lower and paid ONLY on the claims that are made.
- The GPM Model does not include reserves, commission, inflation, or profit charges.
Over the past 10 years, GPM has retained 97% of its clients.
Personalized Group Plans
The GPM model gives employers more control over their budget by understanding the amount they actually spend on claims.
The specific benefits covered in a plan are determined together with the employer and are generally the same as those offered by any other health insurance company.
Thanks to the flexibility of the GPM Model, benefits can be determined based on the needs of each individual employer.
GPM offers its clients an additional method to control costs through the Privilege Health Network with partners in the health industry. This service provides an opportunity for companies to manage their budgets by controlling medical claims.