Introduction
What is a Healthcare Trust?
A Healthcare Trust is a cost-effective mechanism for companies to fund the provision of healthcare benefits to their employees and/or their  dependants.
Company PMI premiums continue to rise, at rates well above inflation. More and more companies are looking to alternative ways of providing healthcare benefits to their employees: self-insuring either through Healthcare Trusts or Captives.
Healthcare Trusts are a recognised alternative to PMI schemes run by the major Insurance groups. They operate in an almost identical manner to standard PMI and can provide cover for employees and/or their dependants. They have a number of unique benefits.
Setting up a Healthcare Trust involves the drafting of a Trust Deed, and the appointment of the trustees. A trust fund will be established with which to settle claims. Typically an experienced Third Party Admininstrator, such as Healix, will be appointed to manage claims and negotiate with providers on behalf of the fund. Stop-loss insurance may be required. |
