The average maximum for a health care plan payable by the person is $ 8,000, but 37% of Americans struggle to cover an emergency expense of $ 400. It is no wonder that many employees consider themselves functionally uninsured despite their membership in an employer-sponsored health plan.

As the gap widens with each passing plan year, employers see their “benefits” suddenly become a “liability” – especially for employees who have little access to savings, have credit. mediocre or, like most Americans, live off their paycheck. -paycheck.

Related: Consumer Drug Costs Continue to Upset Consumers

Providing guaranteed financial assistance to employees who need help paying for high medical and drug costs may be the only way employers can get the most out of the policies they purchase for their employees. Studies show that the majority of employees enrolled in high-deductible health plans report skipping or delaying care, which can have catastrophic consequences. Employees who skip care stay sicker longer, and when results erode, employers see increased health plan spending as well as absenteeism / presenteeism.

Financial assistance to employees to help offset personal health insurance plan expenses comes in several forms that allow the employer’s contribution to be deductible by the employer and non-taxable for the plan member. .

Employer contributions to HSA, HRA, and FSA are the most common forms of this type of financial support. Employers can also sponsor employer loan plans that give them access to employer money when they need it to offset health care costs.

By offering a financial security benefit such as an employer loan program as an accompaniment to the health plan offering, creates an affordable and effective way to help employees obtain confident and secure care. avoid any unhealthy ripple effects. Health care loans can be requested by the employee on a more “as needed” basis, provided the loans are made on a non-discriminatory basis and supported by compliant plan documents and administration.

Providing employer loan programs can often help employees who really need financial support instead of covering all employees, some of whom have reliable access to capital. By adding financial assistance programs as part of the employee benefits package during open enrollment, employers ensure that their employees seek care with confidence, re-value their employee benefits. health care, reduce the total costs of health care over time and their operational staff.

Amy O’Meara Chambers, JD, is the COO and co-founder of HealthBridge, a patient finance company. She is the author of Health savings accounts for dummies.

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