OML-HP does not sell a plan of benefits for Medical, RX, Dental, Vision or Life. You have complete control over the benefits offered to employees including dependents and they can be changed at any time.
OML-HP is the funding mechanism that makes the entire system work.
OML-HP provides PPO network solutions after an in-depth study of past claims data. A network will not be successful without a provider list that satisfies the user population. A network will also not be successful without a strong discount to provide savings to the plan. We work very hard studying the data to accomplish both issues above.
Larger numbers allow for volume purchasing of fixed cost. Today SCOIC is averaging fixed cost over 4000+ employee lives or 10,000 insureds. Our fixed costs have maintained below 6% as insurance carriers fight to stay below 15%. This creates a 9% immediate funding benefit to our employee population.
Large dollar claims are pooled to average out the cost over a greater number of insureds. This provides rate stability over multiple years.
OML-HP also operates an internal pool to lower the cost of stop-loss insurance by reducing the overhead cost of Stop-Loss insurance. Today OML-HP/SCOIC has no involvement with an insurance carrier until a claim would be greater than $1,000,000 within our 12-month Stop-Loss period.
A self-governing board made up of a group representative from each covered entity manages the entire plan with input from claims administrators, consultants and preferred provider networks.
Accurate real time live data allows for realistic projections of costs moving forward without including insurance carrier profits.
Funding factors are released 90 days prior to renewal allowing for plenty of time to make adjustments at the entity level.