Medical Care Direct (MCD) has launched a scheme to enable employers with as few as 100 staff to receive the benefits of a healthcare trust fund.
Its Health Link scheme offers comprehensive third-party administration, MCD’s treatment sourcing service and stop-loss insurance at a fixed price. Through its treatment sourcing service, MCD can obtain competitive package prices, and has access to 450 UK private hospitals and NHS private patient units.
Trusts are tax efficient for employers, with no insurance premium tax (IPT) and the administration charge value-added tax (VAT) is recoverable. If costs are controlled, future contributions can be reduced resulting in lower benefit-in-kind taxation (P11D) for employees.
Employers are able to style the Health Link literature to their own brand making it more personal for their employees.
Jan Lawson, chairman of MCD, said healthcare trusts can offer employers savings of up to 20% per annum compared with the costs of other corporate healthcare schemes. “This is an alternative to standard corporate healthcare provision and offers a significant potential saving to the employer.
“Health Link originated through a desire to meet the needs of clients with unusual risk profiles which made arranging standard private medical insurance (PMI) difficult and costly to arrange.
“Although a healthcare trust is not suitable for every organisation, they should at least be considered by employers and their insurance advisers alongside other options in the decision-making process.”
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