IMPACT KRF BENEFIT PLAN
Presented By: Scott Snowden
Snowden & Associates, Inc.
IMPACT KY RETAIL INDUSTRY
ENDORSED BY: KENTUCKY RETAIL FEDERATION
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Mass purchasing power
Discounted rates for member firms
Local personalize service
The IMPACT was established over 20 years ago to provide comprehensive
employee benefits to members of participating trade associations. Due to
the mass purchasing power of this fully insured trust, even small businesses
are able to take advantage of a high level of quality benefits at costs
normally available only to large employers. Currently, there are over 900
participants in the program covered for benefits
PRODUCTS AVAILABLE

Health Insurance (Carrier Anthem)
 Dual choice plans
 PPO and Health Savings Account Plans
 Excellent national network of physicians and hospitals

Group Term Life
An inexpensive way for an employer to provide basic life
coverage during and employees working years. Volumes of
insurance can be scheduled based on percentage of
compensation, job title or flat amount for all employees
PRODUCTS AVAILABLE (CONTINUED)

Group Long Term Disability
 Benefits up to a monthly maximum of $8,000
 “Own Occupation” definition available during the first two
years of disability
 Benefits available for partial disability

Group Short Term Disability
 Benefits up to a weekly maximum of $800
 Benefits begin on the eighth day for an illness; immediately
for an accident
 Benefits are payable for up to 13, 26 or 52 weeks
 Maternity coverage
PRODUCTS AVAILABLE (CONTINUED)

Dental
 Plans available as employer paid or voluntary (payroll
deducted)
 Orthodontia offered as a rider
 Strong provider networks
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Administrative Compliance Services
Plan administration and billing services are provided by the trust
administrator. They also offer COBRA and cafeteria plan
administration.
POSITIONING
Under health care reform, as of 01/01/14 the small group market (outside of
association plans) will move to a modified community rating model. This means that
premiums would no longer be partially based on your group’s claims, but rather on a
blended risk associated with the small group pool. Basically, this means that you
have no opportunity for discounting if you are a healthy to average risk group. Under
community rating, the healthy groups subsidize the less healthy, thus increasing
pricing for a large percentage of groups.
Also, the reform guidelines for non-association plans will change the rating spread
(top to bottom) from a 1-5 ratio down to a 1-3 ratio. This should benefit older age
brackets, but the younger age brackets could see dramatic premium increases.
IMPACT KRF STRATEGIES
After a lengthy analysis of the reform law, the IMPACT KRF has received
guidance from legal professionals on how to fit in to the Health and Human
Services Department’s definition of a bona fide association and be viewed
as a single large group plan as a Multiple Employer Welfare Arrangement
(MEWA) . This enables us to continue to base rates on your group’s risk and
continue with the current ratios. This should make the IMPACT KRF program
an excellent fit for any average to better than average risk group. It will be
one of the only avenues for small groups to obtain any discounting for
favorable risk.
IMPACT KRF STRATEGIES (CONTINUED)
In order to comply, we will have to require the following of every participating group:
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Compliance with large group laws even if you have fewer than 20 employees (COBRA,
Medicare will be secondary payer, Mental Health Parity, Autism, etc). IMPACT KRF has a third
party administrator that will offer the related administrative services for you to stay in
compliance. Our office will assist you in understanding these laws.
Uniform renewal which is in July of each year, starting in 2013. Compliance with the HHS
provisions will require that we renew all participating IMPACR KRF groups renew together.
This will result in a short year for some. For example, if you renewed or joined the program in
January, you will renew again in July
Like industries will be required. Participating firms will need to have an approved retail
related SIC code.
Minimum group size will be two employees.
It is our belief that the savings opportunities for IMPACT KRF participants will far outweigh
the compliance burdens. The exception to this could be high risk groups. We will be able to
shop the various insurance carriers in the marketplace for you and find the best fit, either in
or out of the IMPACT KRF.
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THANK YOU FOR YOUR TIME….
Contact Information
Scott Snowden
Snowden & Associates, Inc.
(502) 339-7980
scott@snowdenbenefits.com