Choosing a health plan is not as easy as
it used to be. The distinctions among
health plans have begun to blur as
health benefits companies compete for your
business.

Although there is no "best" health benefits
plan, there are carriers that are a better fit
than others for your business and your
employees' health care needs.

As chief executive officer of VISTA, a health
benefits company, I am not immune to the
skyrocketing cost of health care. As an
employer, I face the same challenge you do of
keeping health care costs affordable for
VISTA's 1,000 Florida employees. My responsibility
also extends to more than 10,000
South Florida employer groups and 330,000
VISTA members.

While many CEOs, presidents and CFOs
complain about the cost of providing health
benefits for their employees, they are rarely
engaged in the process of selecting a health
benefits company.

Fortunately, South Florida employers enjoy
a highly competitive marketplace when it
comes to purchasing health benefits. While
there are many carriers to choose from, the
differences among each are few. The network
of providers, plan designs and services
are all very similar.

So all things being equal, why pay more?
How do you know which health benefits
company is the right fit for your business?
Ask yourself these questions.

As an employer, how much can I afford to
contribute to the premium?

What benefits will serve the majority of my
employees?

Will offering employees more choices save
or cost me money?

Does the plan have an adequate number of
providers?

Evaluating cost
Business owners are searching for ways to
reduce their health care expenses. Look for a
carrier that administers your health benefits
plan efficiently.

Administrative charges are a carrier's overhead
costs. They are included in your premium
and can vary significantly. These charges
include processing and paying claims, answering
customer calls, marketing and
advertising costs, and broker commission
payments. Carriers with lower administrative
costs usually are much more affordable than
those with high administrative costs.
When reviewing proposals from health
benefits companies, ask what they will
charge you for administrative expenses.

Offering employees a choice
Giving employees the freedom to choose
their health plan will help educate them
about the valuable benefit you offer, satisfy
their need for health benefits and keep your
premium contributions within your budget.
Plan choices may vary by co-payment, network
access and employee contribution. It
will be the employee, not the employer, who
is responsible for evaluating and choosing his
or her health benefits plan.

Employees will have to determine how
often they use health care services, what they
estimate those costs to be and how they want
to access and pay for those services.

An adequate provider network
No health benefits plan covers every health
expense an employee may have or includes
every physician. You are purchasing group
coverage. As a business owner, you must
evaluate whether the health benefits pIan
you are considering offers an affordable level
of benefits and a network that provides adequate
accessibility for your employees.

Your bottom line
In South Florida, there can be as much as a
15 percent difference in cost among the
health benefits companies you have to
choose from. The health plan you select
should be cost-competitive and offer a
choice of health plans and an extensive
provider network to meet the needs of your
group.

Whether your company has 20 employees
or 1,000, your level of engagement in the decision-
making process is vital in determining
how health care costs will impact your company's
bottom line. Standing on the sidelines
could be a price you cannot afford to pay.

Experts Health Care is brought to you by VISTA
Experts Health Care
RONALD J. BERDING is CEO of VISTA, a health benefits company
headquartered in South Florida with more than 330,000
members. His expertise in health care and insurance spans 30
years. Berding was a member of the Gov. Chiles' Task Force on
Claims Payment and the Small Group Insurance Reform
Committee under Florida Insurance Commissioner Tom
Gallagher. He also served as chair of Florida's Consumer
Assistance Plan. VISTA, through its affiliated companies, Vista
Healthplan Inc., Vista Healthplan of South Florida Inc. and Vista
Insurance Plan Inc., offers a choice of
health benefit plans including health
maintenance organization (HMO), preferred
provider organization (PPO) and
point-of-service (POS). Contact
Berding through VISTA's Web site,
www.vistahealthplan.com, or at (954)
858-3000.