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Bank of America Changing Employee Premium Contributions for Health Insurance Based on Income

Posted Jul 04 2010 10:38am 1 Comment

In January of this year, Aetna began their 3 year contract with B of A in being their primary carrier for employee health insurance.  In an effort to make insurance more affordable, the bank is now looking at income to determine what premiums will be paid.  This is a good move to make insurance more affordable as I have spoken to tellers that work at the bank who don’t have health insurance as they could not afford the premiums. image

With the recent news of how Wall Street and the Banks continue to grow while hospitals and other healthcare facilities continue to lay off to keep the doors open, perhaps this move will help in bringing affordable health insurance to more who work at B of A. 

Bank of America continues with their investments with technology investments as well, such as the example with partnering with Cisco below with using telepresence for meetings and short conferences in HD. 

Cisco TelePresence Expanding Beyond Healthcare with Collaboration with Bank of America

Also, the bank will no longer fund health care accounts for employees to pay for expenses with pretax dollars, it’s all on the employee’s back now to fund with their own money. 

Bank of America will cover the costs of preventive care for wellness screenings, mammograms, well visits for children, etc.  BD

At Bank of America Corp. next year, how much employees make will determine how much they pay for health insurance. image

The Charlotte bank has been informing its U.S. employees about the new approach, which means lower-paid workers will pay less and higher-paid ones will pay more for their coverage in 2011. Employees select their health care plans for next year in October.

Salary-tiered health insurance programs are still an "emerging trend," but an increasing number of companies are adopting this approach, human resources consulting firm Hewitt Associates found last year. Less than 15 percent of employers vary employee contributions based on pay, according to the firm's 2010 database of 2,307 plans.

Under the new model, Bank of America employees who make less than $100,000 in salary and cash incentives will see their per-pay-period costs decrease. Those earning $100,000 or more will see their expense go up.

At Bank of America, a new way to pay for health insurance - CharlotteObserver.com

Comments (1)
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Health insurance is indeed important for it helps a person in his medical bills. By the way, Bank of America refuses to honor funds or transfers made through the bank. You will find numerous corporations that are doing the exact same thing, and Bank of America is just the latest. As the organization is preparing to discharge documents from the banking industry next year, several believe it's an act of vengeance.
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