The Affordable Care Act (ACA) is changing a lot of things about health care and health insurance. Insurance companies in Wisconsin are grappling with increased costs as they work to develop plans that incorporate all of the new requirements for health plans.
Some plan premiums have increased dramatically over the past year while others will be increasing for next year, according to an article in The Business Journal. One employer quoted in the article raised deductibles for its employees to avoid a 30% rate hike this year, leaving the owners of that business wondering what next year will bring.
WPS Health Insurance executive Tom Olson (pictured at right), who was interviewed for the article, talked about one new approach his company is taking. Olson, vice president of sales and marketing, told The Business Journal how WPS is preparing to introduce its own small-group, self-funded plan to help small businesses provide insurance to their workers for less.
Smaller employers are considering a variety of ways to pay for insurance costs. Some small businesses are considering self-funded insurance plans, The Business Journal states, which are exempt from many ACA requirements but put the risk onto the business. Others will rely on the insurance exchange.