Build a Better Business

Building a Business

In today’s poor economic environment, businesses all across the state (and beyond) are seeking ways to cut costs. One department where your company can control costs is employee benefits.

Turn to the Indiana Chamber’s publication, Building a Business in Indiana (written by a team of attorneys from the Indianapolis law firm Bose McKinney & Evans LLP), for the guidance you’re looking for. Here are just a few ideas, as outlined in Chapter 6: "How Can I Keep My Benefit Costs Under Control?"

Consider implementing a wellness program. When employees are healthier, health care costs are lowered. Wellness programs typically are most successful when coupled with financial incentives.

Reduce annual and lifetime plan limits. Federal law does not prevent a health plan from imposing annual and lifetime benefit maximums. Employers seeking to minimize their financial exposure to unanticipated health care claims should reduce benefit maximums prior to the receipt of significant health claims from a single individual.

Offer different benefits for participants and dependents. Both the ADA and HIPAA explicitly permit health plans to provide different levels of benefits for participants and dependents. For example, it would not violate federal law for a health plan to have a $100,000 benefit cap for employees but only a $50,000 benefit cap for employee dependents.