Of all the employee benefits a company can offer, group health insurance is the greatest draw. Options include traditional indemnity and managed care. Managing health care expenses on a tax advantaged basis is an important consideration as well. The proliferation of such plans as health savings accounts and health reimbursement arrangements are examples.

This chapter discusses the basic features of the major plan types, relevant tax implications to the employee, COBRA/HIPAA provisions as well as tax-advantaged means of saving for various health care costs.

After reading this chapter, you should be able to discuss the:

  • basic features of traditional indemnity plans.
  • basic types of managed care plans.
  • relevant income tax implications of group health care plans.
  • mechanics of COBRA and HIPAA
  • various types of health savings accounts.


Types and Basic Provisions

Related Articles
  1. Investing

    The Top 5 Healthcare Mutual Funds for 2016

    Discover analyses of the top five health care mutual funds, which may be poised to rise in 2016 due to increased demand in health care products and services.
  2. Retirement

    Is Your Health Insurance Enough For Retirement?

    Learn what to expect to pay for health insurance in retirement, what is covered through Medicare and what the Affordable Care Act means for retirees.
  3. Insurance

    Why Health Insurance Premiums Will Rise in 2017

    To battle the costs and challenges of the Affordable Care Act, many health insurances are raising their premiums in 2017.
  4. Insurance

    Will Health Care Continue to Drive IPOs in 2016?

    Learn why health care IPOs may be slowing in 2016, and how Obamacare, poor previous filings and economic factors are affecting the health care sector.
  5. Insurance

    Health-y Savings Accounts

    HSAs can provide a new way to save for retirement and medical expenses.
  6. Insurance

    7 Mistakes to Avoid When Buying Health Insurance

    Understand the need for health insurance and why some undervalue the need for coverage. Learn about the top seven mistakes to avoid when purchasing insurance.
  7. Investing

    ETF Flows: Health Care ETFs Are Shedding Assets in 2016 (FXH, XLV)

    Learn about five exchange-traded funds (ETFs) that invest in the health care sector and experienced large year-to-date (YTD) capital outflows as of March 4, 2016.
  8. Insurance

    Buying Private Health Insurance

    Getting your own policy isn't easy or cheap but in some cases, it's well worth the effort.
  9. Insurance

    5 Alternatives to Traditional Health Insurance

    Discover five of the most popular alternatives to traditional health insurance plans, alternatives that are increasingly popular as health insurance costs rise.
Frequently Asked Questions
  1. What are the Differences Among a Real Estate Agent, a broker and a Realtor?

    Learn how agents, realtors, and brokers are often considered the same, but in reality, these real estate positions have different ...
  2. What is the difference between amortization and depreciation?

    Because very few assets last forever, one of the main principles of accrual accounting requires that an asset's cost be proportionally ...
  3. Which is better, a fixed or variable rate loan?

    A variable interest rate loan is a loan in which the interest rate charged on the outstanding balance varies as market interest ...
  4. What is the 1003 mortgage application form?

    Learn about the 1003 mortgage application form, what information it requires and why this form is the industry standard for ...
Trading Center