Are you looking for an affordable, usable and relevant way to insure your employees and set yourself apart from other businesses in the same field? Or, maybe you’re running a one man show and are just looking for yourself. Either way, at POM, we can help you create a health spending account that will see you get the most out of your health expenses.
A health spending account can be used in conjunction with a group benefits plan or as an affordable alternative. It really depends on what your business needs are. Because it is self-funded you only pay for what you use and as a CRA approved third party you are able to write off 100% of expenses incurred.
Typically, how a health spending account works is the employer/business owner sets an annual dollar amount that can be spent by each employee. The benefit to the employees is they are given the freedom to spend their health care dollars on their unique health and medical needs (eg. prescriptions, vision care, and other medical expenses), rather than a traditional one size fits all approach with the many limitations and exclusions.
The most significant benefit for the business owners is they will only spend to a maximum of what they allocated for each employee. If the employee doesn’t spend the full amount for that year the residual can be reabsorbed by the company or rolled into the next year. Either way there are no more monthly premiums and therefore no more premium increases. The business owner only pays for what the employee uses up to their maximum.
A health spending account is a modern and efficient way of offering your employees tailor fit benefits, without all the extra costs and fees. Great for retention and for saving the company money!