All Savers from UHC

[Ann H]

Here's a quote for one of my groups, with 10 EE, 8 E+Sp, 7 E+Ch, 15 E+Family, totaling 40 enrolled employees out of 41 eligible employees, and 69 enrolled dependent units. Pretty fine group, actually.

All Savers Plan A (the lowest premium All Savers plan quoted) - $5000 deductible, medical "credit" of $750, copays of $50/$250/$500, Rx copays $15/$65/$100/$140 with $500 Rx deductible and no Rx "credit", 80% in-network to $10,000 out-of-pocket (UHC usually includes the deductible in the OOP, and I think they do here too).
EE - $208.16
ES - $437.13
EC - $385.09
Fam-$624.48

Contrast that to UHC's lowest benefit quote from their traditional series for the same group called AW6 w/2v, which is a 70% plan but the closest I could get. Deductible $5000, copays $30/$60, Rx $10/$35/$60 w/ no Rx deductible, 70% to $15,000 out-of-pocket which includes the deductible.
EE - $316.44
ES - $664.52
EC - $601.24
Fam-$949.32

UHC's HSA that's closest is HSA $5000 deductible 100% plan priced at:
EE - $344.31
ES - $723.05
EC - $654.19
Fam-$1032.93

All Savers highest benefit plan quoted is Plan E - $2,000 deductible with $1500 medical "credit", copays of $40/$200/$400, Rx copays of $10/$65/$100/$140 and $100 Rx deductible, 85% co-insurance to $4,000 out-of-pocket, that I assume includes the deductible since their traditional plans do.
EE - $288.09
ES - $604.99
EC - $532.97
Fam-$864.28

Since there's a $1500 credit before a $2,000 deductible, let's compare that to UHC's more traditional AKC w/2v - $500 deductible 80% to $2500 out-of-pocket (that includes the deductible), $20/$40 copays, $10/$35/$60 Rx copays with no Rx deductible.
EE - $448.70
ES - $942.27
EC - $852.53
Fam-$1346.10

Unfortunately, this group didn't take UHC at all, because another carrier beat the rates altogether and I wrote it with that other carrier.

I went to unitedeservices and I couldn't find any benefit summaries or product grids for All Savers. If anyone has one we could get more details. I remember when it first came out and the businesses I showed it to were wary because of inside limitations, high copays and the thought that it was too complicated to be worthwhile... But with price differential like the one above, it's worth looking at in more detail!

 

[somarco]

Ann, sometimes carriers play tricks with their low priced plans by using networks with a very limited footprint. Is this what UHC has done? I know they have been exploring this option as a way of creating low priced products.

 

[ABC]

All Savers is being Administered on the Old American Medical Securities plat form. I think you need about 100 live already insured with UHC to get be allowed to sell it.

Thanks for the quote comparison. Were those underwritten.


I am surprise that it was pitched to a group that size.
$200 a month EE premium is a very good cost. For those owners that do not care I could see this selling.

It's popping up in the under 20 market here.

I like UHC but I really do not see them competing on business under 50 BUT there underwriting is very aggressive and they are will to take on much more risk. Some of the UHC plans I feel are bad.

 

[stuy119]

I've seen UHC to be strong in the white collar market. Blue collar, not so much, but the mortgage brokers and bank I work with are extremely competitive.

 

[Ann H]

Arizona is a small group market, mostly Mom & Pop shops with 2-20 lives. UHC seems to like the 15+ groups, but especially the 50+.

I emailed my local UHC rep to ask about All Savers, and to ask if it was for volume producers only. Part of her email said that All Savers, "...[FONT=&quot]is not exclusive and is available for all brokers to quote and write. It is a pretty difficult product to explain and we should probably set some time up to meet and go over it. I'll be honest with you though, it's not priced aggressively like our UHC products so it really has not been selling..."


[/FONT]

 

[ABC]

Ann,
I think there is a conflict with the UHC plans and All Savers.
The sales rep are not getting credit for All Savers sales.
It was developed by the American Medical Securities (AMS) division.

My UHC sales rep is not real hip on the idea of me selling that product.

Arizona is a small group market, mostly Mom & Pop shops with 2-20 lives. UHC seems to like the 15+ groups, but especially the 50+.

I emailed my local UHC rep to ask about All Savers, and to ask if it was for volume producers only. Part of her email said that All Savers, "...[FONT=&quot]is not exclusive and is available for all brokers to quote and write. It is a pretty difficult product to explain and we should probably set some time up to meet and go over it. I'll be honest with you though, it's not priced aggressively like our UHC products so it really has not been selling..."


[/FONT]

 

[PepDaddy]

I can't attest to everyone's experience with All Savers, every market is different. I have had a positive experience here in Michigan it is exclusive and a limited distribution product. Geo-target markets fair better than some others for instance Detroit rates are higher than in some rural areas of Michigan this is not a canned one-size fits all type insurance platform. One thing that sets this apart is the fact that the employee's can customize their plan options within their plan design. Such as once the employer elects the default plan option the employee has the option to modify their plan, with no change in rate or medical credit, which is the huge selling factor for the type of product, there are pros and cons, it is more education around this product than standard group plans, but offer some decent trade offs if your customer is savvy enough to comprehend the product.

 

[ABC]

I quoted the product about 20 times and decided not to sell it.
I felt there was not enough value in the pricing to go with that plan design. In fact I took a handful of group off of that platform and put them on a more traditional.

Is All Savers going to be a QHP in 2014? I doubt it.

The other thing is the small groups that went with the allsavers plan will drop group and go GI individual and possibly get subsidies through the exchange.

My thought is ALLSavers IS DOA.

I can't attest to everyone's experience with All Savers, every market is different. I have had a positive experience here in Michigan it is exclusive and a limited distribution product. Geo-target markets fair better than some others for instance Detroit rates are higher than in some rural areas of Michigan this is not a canned one-size fits all type insurance platform. One thing that sets this apart is the fact that the employee's can customize their plan options within their plan design. Such as once the employer elects the default plan option the employee has the option to modify their plan, with no change in rate or medical credit, which is the huge selling factor for the type of product, there are pros and cons, it is more education around this product than standard group plans, but offer some decent trade offs if your customer is savvy enough to comprehend the product.

 

[leevena]

I did not pay much attention to this thread when first started, but I found this to be very interesting. Let me start by saying that I realize each market is different, and each employer within that market is different, so my comments are more general in nature.

Using Ann's outline of costs and benefits, it appears to me that this type of product has a good chance of working, with certain markets and groups. Yes, the term "saver" is usually a caution for me too. But let's consider some facts. The US Center for Disease Control reports phyician visits to be as follows; 20% of population has not visited a doc in last 12 months, 17% visited once, 26% visited 2-3, 24% visited 4-9, and 13% 10+. Hospital admits (2010) in US is 114/1,000. In AZ it's 111/1,000. Lowest rate is Alaska (80/1,000) and higest is DC (218/1,000), which should not be a surprise to anyone.

That said, the use of this type of product is not that far fetched. If I were an employer in AZ and had a traditional plan I see no reason why the highest plan is not suitable for me, assuming I have an average group in terms of health. I might even take some of my cost savings and contribute a small amount to an HRA if my employees felt concerned.

 

[somarco]

Lee, you probably have more current (and accurate) data than I do, but from the "old days" roughly 50% of large claims (xs of $50k) were hospital, the balance was outpatient.

So if you have a $100k claim you can anticipate $50k from the hospital and $50k from follow up outpatient visits and Rx.

With a hospital only plan you are only insuring half your risk.

Kind of like having a car insurance policy that only works on Tuesday, Thursday and Sunday.