Regarding the health benefits, cost control has become a major challenge for small non-profit organizations. Each year, the management teams are faced with difficult budgetary decisions to health insurance renewal time: increase the budget again, reduce coverage, modify health benefits, or cancel the benefits. These are difficult to have conversations. Nonprofits need quality health benefits to attract and retain employees, but with affordable and controllable costs. 
To get control over the benefits of health budgets in both short-term and long-term, profit increased from Medicare group individual health insurance reimbursement . Why? There are four main reasons
Note -. This article is an excerpt from our new eBook, The Nonprofit Guide to Individual Health Insurance Reimbursement . To download the complete resource here.
1. Health Insurance Group becomes too expensive
Regarding health benefits, cost control has become a major challenge for small nonprofits. Over the last fifteen years, the national average cost to cover an employee with group health insurance increased by 174 percent. This represents an average of 12 percent annually (Kaiser Family Foundation, 2014).
For many small nonprofits, group health insurance is simply becoming too expensive. With limited budgets and scarce resources, management teams must be strategic about how to allocate salaries and benefits dollars
Related -. 4 Tips for finding affordable health care for your nonprofit
2. Health Individual Insurance Reimbursement is affordable
As organizations aimlessly lucrative fight for the budget of the group health insurance, individual reimbursement of health insurance offers a more affordable model of health benefits. It is a cost effective approach to health benefits because:
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nonprofit sets the amount to contribute to employee health expenses (either it there is no amount required to contribute).
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average individual health insurance costs less than comparable premiums of health insurance group. Thus, the health benefits dollars nonprofit are stretched further.
3. Nonprofits need predictability and fiscal control
The third reason for small nonprofits adopt individual reimbursement of health insurance is because nonprofit need predictability and budgetary control.
With the individual reimbursement of Medicare, the association has control over the cost short-term and long-term health benefits program. The one time cost increases is whether the nonprofit decides to increase the reimbursement penalties or additional staff.
stability For nonprofits, with predictable and controllable costs year to year if necessary adds to the budget and allows to report to the board of directors and donors funds.
4. Individual health insurance has new benefits
individual health insurance new advantages that make any as well, and in some cases better, than group health insurance.
because of the health reform, individual health insurance is now guaranteed issue; This means all employees are eligible for coverage regardless of health conditions. And individual costs of health insurance less
With individual health insurance, employees learn to :.
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Pick the plan that best fits their particular needs, including networks and physicians.
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Keep the plan as long as they want, completely independent of employment.
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Get a federal grant, on average, about half the cost. Families earning less than $ 100,000 per year or a single person who earns less than $ 46,000 a year may qualify.
Conclusion
nonprofits value taking care of their employees, who work hard faithful. Yet the traditional way to offer health insurance becomes unaffordable. As management teams and board of directors are beginning to demand more affordable and sustainable ways to provide health benefits, an alternative solution is individual repayment of health insurance. This approach is widely adopted by small nonprofit organizations because it is affordable, sustainable and provides employee access to quality health insurance.
What questions do you have about the person repayment of health insurance for non-profit organizations? Download this PDF guide or leave a question below.
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