Medical coverage is a must-have element of any well-rounded compensation package. In North Dakota, there are approximately 300,000 individuals covered by health insurance, whether you work for employers like R.D. Offutt Company or Otter Tail.
The Affordable Care Act (ACA) states that if you have more than 50 workers in the state of North Dakota, you must provide health insurance to them. We've broken down what medical benefits look like regardless of your company size, whether you're a small employer (1-50 employees) or a big employer (51+).
Among the 13,000 small employers in North Dakota representing over 54,700 employees, 68% provide access to medical benefits, while 63% of employees take advantage of the benefit. On average, if you’re a small employer in North Dakota, the employer covers 78% for single employees and 67% for families, which costs the small employer on average $454 each month for individuals and $1182 for families. The employee also has to pay a monthly amount which totals out to $127 for a single employee and $580 for a family on average. A family individual component can range from $349 at the 25th percentile to $684 at the 75th percentile.
From a design standpoint, 27% of small company employees pick a high deductible health plan, 7% select an HMO, and 39% select a PPO. These various plan types allow for different levels of coverage depending on the network restricting access to certain PCPs, specialists, and hospitals while allowing access to a variety of doctors and hospitals through an open network with the freedom to choose where you go.
In North Dakota, 42% of employers provide a Health Savings Account (HSA) and a healthcare Flexible Spending Account (FSA) to help employees manage their costs and pay as much as possible. This is an excellent approach for employers to assist employees in monitoring their medical bills in the most efficient way with minimum cost to them.
44% of small employers provide dental benefits, while only 21% offer vision, which is lower than big businesses. 76% take advantage of dental coverage and 79% enroll in vision. When it comes to choosing their health benefits for the year, employers might find that providing dental and vision is a good option.
In the state of North Dakota, 6,000 large employers provide medical coverage to over 245,000 individuals, with 69% taking advantage of the benefit. Larger employers, compared to smaller ones, are generally able to provide most comprehensive medical benefits. On average, North Dakota employers cover 80% of the monthly premium for single employees and 75% of the premium for families. On the employer side, this equates to a monthly premium average of $515 per month for singles and $1459 for families. For employees, this costs an average of $125 per month for single employees and $483 for families, with costs ranging anywhere from $73 each month for a family at the 25th percentile to $145 for a family at the 75th percentile. However, if you’re lucky enough to work with a few select North Dakota large employers, 9.0% cover all medical expenses for single individuals, and 4.5% cover all expenses for families.
Depending on employee demographics, several criteria may influence the option of plan types. In North Dakota, 44% of employees enroll in PPO plans, 7% in HMOs, and 46% in High Deductible Health Plans. The difference between plan kinds affects the level of coverage available from doctors and hospitals. It also influences copays, deductibles, and other aspects.
It's critical for businesses to give their workers the tools they need to manage their medical costs in a tax-advantaged way. The Flexible Spending Account (FSA) and Health Savings Account (HSA) are two of the most popular methods. An HSA is available at 61% of large North Dakota employers, while an FSA is offered by 70% of these businesses.
Larger businesses generally have a greater plan selection rate than smaller employers when it comes to dental and vision plans. In North Dakota, 68% of large employers offer dental insurance and 81% utilize the benefit, while 38% provide vision coverage and 79% use that option.
Choosing a benefit designer for your plan type is a crucial choice whether you're a small or large business in North Dakota. Contact Mployer Advisor immediately if you want a list of companies in your area that specialize in medical benefits.
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