Because you don’t want to be on the negative end of adverse selection.About 1 in 5 employers currently use spousal limitations, ranging from surcharges and carve-outs to exclusion of all spouses from the plan.
Spousal limitations can reduce the chances of adverse selection, which can result in spiraling costs. Additionally, employers that add spousal limitations typically see plan cost savings of 4 to 6 percent or more.
There are many plan options when it comes to spousal language, and MedBen can help you develop a strategy that best fits your benefit goals. To learn more, contact MedBen at 888-627-8683.