There are so many businesses that are choosing to use health-insurance allowances for innovative, cost-saving solutions for their employees. What ways are they using these allowances for their benefits?

• Allowances used as the benefits package – This is the most popular choice and gives employees an amount to spend on health policies of their own instead of traditional coverage. Businesses set up a plan for their employees with the help of a broker or an online private exchange. The business then reimburses the employee for the plan that they purchased. This is not a health-insurance plan, but a way to reimburse for health-insurance premiums. The biggest problem with this option is cost.
• Allowances that retain and recruit key groups – This is set up the same as above, where the company gives the employee a certain amount of money to spend on their health-insurance needs. However, it is only given to certain employees with key benefits.
• Allowances for seasonal or part time benefits – These allowances are available for employees that are not full-time workers but qualify for other benefits through their workplace. This allows these employees to have a valued position with the company and also get the health care they need. The employees have to be part time or seasonal.
• Health allowances for new employees – The company can provide an allowance for new employees. They can enroll in a temporary plan and then, after two months, can enroll in a more permanent plan with the company. This adds value to the company’s share of the benefits, as well.
• Allowances for retirees – This is a plan that is set in place when it comes to retiring from the company and maintaining health-insurance coverage after retirement. Employees that have yet to retire cannot use this plan.