ISG Fixed Funding
Makes paying claims simple and predictable
HRAs, FSAs, and HSA Advance are popular health plans offered by employers, but they come with some severe flaws. For instance; claims funding is unpredictable, uneven, and unfunded. When an employer enrolls in the savings group to finance claims for an HRA or FSA, claims funding will be predictable, even, and funded.
For example, an employer with $12,000 in claims liability might expect to pay out around $9000 in claims throughout the plan year. But they have no knowledge or control of when the claims will actually occur. Which can make for a bumpy ride when large claims hit all at once, or at inopportune times for the business.
Take that same employer who expects to pay about $9000 in claims for the year, they would pay an even $750 ($750×12 months = $9000) into the savings group every month, regardless of their actual claims experience. This makes paying claims simple and predictable.