With the aim of not insuring known costs, WPA has extended its pioneering Group Deductible model to its ‘claims rated’ Absolute Health product, typically offering companies a saving of 6% against a comparable fully insured premium. The company said the move would transform how employers manages their corporate healthcare, combining cost efficiency with high-quality and comprehensive employee benefits.
Following the success of Corporate Deductible, launched in 2010 for bespoke schemes and the addition of the Group Deductible within WPA’s Precision Corporate Healthcare product for SME businesses, WPA is now adding to the cost-saving alternative available to companies with 150 to 1,000 employees. 
The Group Deductible is an alternative to traditional fully insured models with guaranteed savings. By splitting the payment into two components – a capped, collective excess (the deductible) and the remaining insured element, companies can expect greater control, reduced overall costs and no additional risk. It is, in effect, a sustainable long-term model aligned with efficient use of resources and adaptive to workforce needs.
The Group Deductible can be added at inception or renewal, providing flexibility to adapt existing arrangements without disruption. As a result of the optimised premium, employers can expect to see a lower P11D cost per employee.
In lower claiming years, where the deductible element is not fully used, the company further benefits with the surplus being returned as a credit thereby making the arrangement cost-effective with the additional bonus of a potential refund.
Ellis Turley (pictured left), WPA’s Head of Large Corporate Customers, said: “With so many upward cost pressures upon companies, we are challenging the notion of insuring known costs. Group Deductible could be a gamechanger for mid-large corporate claims rated schemes.
“In a challenging year, while benefiting from a lower insurance premium tax bill, they are safe in the knowledge that they are protected under the umbrella of an insurance policy – better still, an added advantage of the premium savings is the knock-on impact to Employers National Insurance liability.
“With the Group Deductible option selected, large employers can make substantial savings without compromising on the quality of care for their people. It’s about giving businesses more control and value from their healthcare spend.”
Join Somerset Chamber of Commerce to give your business a stronger voice both locally, regionally and nationally. Combined with local town chambers, we represent over 2,000 businesses across Somerset with a direct line to policy-makers at all levels.
