Employer Group Waiver Plans

Business Problem:

Effective January 1, 2013, the Retiree Drug Subsidy (RDS) will be taxable, eliminating the 28% tax break companies have been receiving from the federal government. For employers with Medicare-eligible retirees, this will significantly increase their FAS 106 liabilities, as this impacts their post retirement benefit obligations. With initial increase estimates at around $200 per employee per year, many employers are re-evaluating their retiree prescription drug offering. AmWINS Group Benefits has an Employer Group Waiver Plan (EGWP) product for your clients to stay self-funded, retain their current plan design and take advantage of the government’s tax free opportunities.

In addition, AmWINS Group Benefits can administer an EGWP on a fully insured basis, through a Prescription Drug Plan. Employers can customize their benefit design and retain sponsorship of the retiree benefit at a lower cost, while eliminating the risk that comes with self-insurance. EGWP’s provide greater flexibility than the RDS in benefit design, member cost-sharing and premium contribution. With an EGWP, 100% of expenses (benefits and administration) are tax deductible. AmWINS Group Benefits can provide you with the EGWP solutions you need to help your clients through the tough decisions they will need to make concerning their RDS liabilities. Here’s why we can help:

Potential Prospects:

The AmWINS Advantage:

Value Proposition: