How Much Will a Group Benefits Plan Cost Me?

I wish I could tell you the cost of an employee with single coverage is $60.00 a month and the cost of an employee with family coverage is $150.00 a month. It’s not quite that simple.

In fact, there are some factors that need to be taken into consideration before a quote accurate to your group’s demographic can be given.


All insurance policies need to be underwritten. Underwriters need to evaluate the risk and determine what premium they are willing to offer to take on this risk. Group Benefits is no different.

Groups with an average age that is higher will typically pay higher premiums than groups with a lower average age. I say typically because one more factor that underwriting likes to look at, is occupation.

Underwriting has an occupational rating for every occupation each with their own risk profile. Blue-collar employees for example have more physical jobs which puts them in a higher risk category for accidents and injuries.

White-collar employees for example are not as active and thus have a higher risk category for other health ailments associated with a sedentary lifestyle.

Group Size

The size of the group will also have an impact on the rates due to the risk pool advantage, which means that when a group has more people in it, the risk is spread out over a larger pool and thus the rates will come down. This is the advantage of Group Plans and is the reason why Group Benefits are cheaper than individual plans.

This is the advantage of Group Plans and is the reason why Group Benefits are cheaper than individual plans.

Plan Design

Prices will vary with Plan Design as well. An extensive plan design will cost more than a basic plan design.

I provide my clients with a Bronze, Silver and Gold option so they can see the costs associated with each Plan Design.

Bronze typically has a 70% coinsurance meaning if the cost of the appointment is $100 the plan will cover 70$ of the $100 appointment. Silver has an 80% coinsurance, and Gold a 100% coinsurance.

Just Ask

I can provide you with a free, no hassle, no obligation quote specific to your Group’s demographic. A requested quote is not an invitation for me to put you on a mailing list. You will only receive information regarding your free Bronze, Silver and Gold quote. Quoting is easy, just use our convenient online form and provide me with your Group’s information. Of course, I am always here to answer your questions!

Add Comment

Your email address will not be published. Required fields are marked *