Andy NearyI help insurance professionals turn brand awareness into business growth.

SOTSQ Episode 2 - The Unlimited Company Credit You Don't Know About

26 Jun 2018 · 1 min

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Andy Neary (SOTSQ Episode 2) warns that company medical ID cards operate like an “unlimited company credit card” for employees, allowing them to seek care in-network without regard to cost. He gives a concrete example showing large price variation for the same MRI ($750 vs $3,000) and advises employers to change employee buying behavior by steering them to lower-cost providers and making good choices easy. He teases a follow-up episode on misaligned compensation in company health plans.

Questions this video answers

Andy Neary.

June 26, 2018.

Facility A: $750; Facility B: $3,000.

Chapters

Alright, let's talk about a second problem impacting your health plan today, folks. You have one of the riskiest credit cards in America sitting inside your company right now that you're completely unaware of. And it's this right here. This medical ID card you hand out every single year is nothing more than an unlimited company credit card to your employees. And as long as they stay in network, they can go wherever they want and they can spend whatever they want. Let me give you an example. Right now, an employee in your health plan could go to facility a for an MRI and pay $750. Or they could go to facility B for the same MRI and pay $3,000. Folks, if you're going to drive down your health insurance cost, you have to focus on how, when and where this credit card is being used. When an employee goes here, give it to them for free. Make good decisions easy. Make bad decisions hard. When you start changing employee buying behaviors, you will start reducing your health care cost. Alright, next week we're going to talk about one more piece of misaligned compensation that's haunting your health plan today. Have a great afternoon and we'll chat soon.