Used excel to determine what health care company to use.

1. Choosing a
Health Care Company
Start Up Financial Consulting
Stephanie Heintzman (2015)

2. Executive Summary
 A confidential start up company want to know what
health care provider they should pick for employee
health insurance. The company consists of 5 employees;
3 of which need general converge, 2 need coverage with
more premium options. All employees have a five year
contract.
 It is recommended that our client chooses Central
Health to provide long term health care for their
employees. Employee needs will change as our client’s
company grows, therefore attention to future trends is
required and options may need to be reevaluated.
* All company names have been changed for the purpose of this report 2

3. Table of Content
2 Executive Summary
4 Background
5 Price Listing According to Employees’ Current Needs 5
6 Costs of First Two Years
7 Costs for 5 years of Health Coverage
8 Current Recommendations and Expected Growth of Client’s Company
9 Monthly Price Listing in the First Year
10 Monthly Plan Price Breakdown
11 Central Health Five Year Forecast Assuming 0.8% Annual Inflation

4. Background
 A confidential client has 5 employees all on a 5 year
contract
 3 employees require general health care; 2 require
more premium options
 We want to evaluate different Health Care Companies,
Health Care Plans, and benefits required by our client
to determine which company they use for health
coverage over the next 5 years.
* All company names have been changed for the purpose of this report 4

5. Price Listing According To
Employees’ Current Needs
Regardless of the prices, our
clients had certain needs
Packages require with each health
care company (# of packages
required):
 Cantro:
 PPO (5)
 Central Health:
 Open Access (3)
 PPO High (2)
 Liberty Health:
 CoreMed (3)
 Assurant Max (2)
 RedCare:
 HMO (3)
 Series 3 (2)
* All names have been changed for the purpose of this report
Health Care
Company
Health
Plan
Monthly Cost in
First Year (S)
Monthly Cost ($)
Cantro
HDHP 120.00 138.00
PPO 158.00 182.00
Central Health
Open Access 100.00 11.00
PPO Value 121.00 139.00
PPO High 183.00 211.00
PPO Open
Access 137.00 158.00
Liberty Health
Open Access 115.00 132.00
Health
Savings 101.00 116.00
CoreMed 135.00 155.00
Assurant Max 160.00 184.00
PPO 140.00 161.00
Red Care
PPO 118.00 136.00
HMO 85.00 98.00
Series III 135.00 155.00
Individual
HAS 121.00 139.00
5

6. Costs of First Two Years
 Considering employees
needs and plans
required, this
demonstrates the costs
of the first two years.
 Central Health have the
lowest annual costs,
followed by RedCare
 Cantro demonstrates the
highest first year costs
0
2000
4000
6000
8000
10000
12000
Cantro Central
Health
Liberty
Health
RedCare
Costs of Health Care Coverage
Cost of First Year Annual Cost
* All names have been changed for the purpose of this report 6

7. Costs for 5 Years of Health Coverage
 This chart demonstrates the costs for five years (length of
employee contract) of health coverage by company.
 Central Health is the cheapest, and best company to choose
for long term care
0
2000
4000
6000
8000
10000
12000
Year 1 Year 2 Year 3 Year 4 Year 5
Cantro
Central Health
Liberty Health
RedCare
* All names have been changed for the purpose of this report

8. Current Recommendations and
Expected Growth of Client’s
Company
 If employee needs are expected to stay the same, we
recommend choosing Central Health
 However, always be prepared for change
 Should the company plan to grow, with more diverse needs,
the following factors should be considered:
 Average price of plans
 Min price offered
 Max price offered
8

9. Monthly Price Listing in the
First Year
* All names have been changed for the purpose of this report
9
Cantro
Central
Health
Liberty
Health
RedCare
Average Cost 139 135.25 130.2 114.75
Min Monthly Cost 120 100 101 85
Max Monthly Cost 158 183 160 135
0
20
40
60
80
100
120
140
160
180
200
MonthlyFee($)
Health Plan Breakdown by Company
 RedCare offers the cheapest first year year of coverage
 Central Health offers the largest range of prices in the first year

10. Monthly Price Listing in the
First Year
* All names have been changed for the purpose of this report
9
Cantro
Central
Health
Liberty
Health
RedCare
Average Cost 139 135.25 130.2 114.75
Min Monthly Cost 120 100 101 85
Max Monthly Cost 158 183 160 135
0
20
40
60
80
100
120
140
160
180
200
MonthlyFee($)
Health Plan Breakdown by Company
 RedCare offers the cheapest first year year of coverage
 Central Health offers the largest range of prices in the first year

11. * All names have been changed for the purpose of this report
10
Cantro
Central
Health
Liberty
Health
RedCare
Average Cost 160 129.75 149.6 132
Min Monthly Cost 138 11 116 98
Max Monthly Cost 182 211 184 155
0
50
100
150
200
250
MonthlyFee($)
Health Plan Breakdown by Company
 Central Health offers the cheapest, and the most expensive plan
 Central Health offers the largest range of prices in the first year
Monthly Plan Price Breakdown

12. Central Health Five Year Forecast
Assuming 0.8% Annual Inflation**
**Sources: Stats Canada. (2015). Consumer Price Index, April 2015. Retrieved from:
http://www.statcan.gc.ca/daily-quotidien/150522/dq150522a-eng.htm
* All names have been changed for the purpose of this report
R² = 0.4729
R² = 0.9925
R² = 0.9915
R² = 0.9914
-500
0
500
1,000
1,500
2,000
2,500
3,000
3,500
Year 1 Year 2 Year 3 Year4 Year 5
Cost($)
Annual Prices of Central Health Plans
Open Access
PPO Value
PPO High
PPO Open Access
Linear (Open Access)
Linear (PPO Value)
Linear (PPO High)
Linear (PPO Open Access)
 The market and prices will fluctuate
 Reevaluate options overtime as employee needs change
11

13. Further Questions
Contact Stephanie Heintzman
@seheintzman 647-970-3696
stephanie.e.heintzman@gmail.com