Discrimination favoring management or highly paid employees is not permitted for deductible health and accident insurance plans. For self-insured medical reimbursement plans (i.e., direct payment or reimbursement by the employer of the medical bills of the employee or family), no discrimination, either in eligibility or benefits, is permitted if "highly compensated individuals" are to receive all plan benefits tax-free. The plan must benefit, in general, at least 70% of employees who are not highly compensated employees. However, there are exceptions. A "highly compensated employee" is one who has a significant ownership interest in the company, or who is one of the five highest paid officers or employees. An alternative designation is an income threshold, currently $80,000. If a self-insured plan is discriminatory, an employee who is considered a highly compensated employee must include the amount of discriminatory benefits received in gross income.
Indiana Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees Keywords: Indiana, corporate resolution, self-insured, medical payment plan, key employees Introduction: In Indiana, corporations have the option to establish a self-insured medical payment plan for their key employees. This corporate resolution serves as a legal document that outlines the terms and conditions of the plan, ensuring that key employees receive adequate medical coverage. This article will provide a detailed description of what an Indiana Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees entails, along with any potential variations or types of such resolutions. 1. Key Features of the Indiana Corporate Resolution: The Indiana Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees is a comprehensive document that sets out the following key features: a. Scope and Coverage: The resolution clearly defines the scope of coverage provided under the self-insured medical payment plan. It outlines the extent of medical services covered and any restrictions or exclusions, ensuring clarity for both the corporation and key employees. b. Eligibility Criteria: The resolution outlines the specific eligibility criteria for key employees to qualify for the self-insured plan. This may include criteria such as job position, tenure, or specific performance metrics. c. Funding Mechanism: The resolution establishes the funding mechanism for the self-insured plan. It delineates how the corporation will allocate resources, whether through a designated budget or contributions from both the corporation and key employees. d. Administration and Management: The resolution defines the administrative procedures and responsibilities of managing the self-insured plan. It may specify whether the corporation will handle administration internally or outsource it to a third-party provider. e. Reporting and Compliance: The resolution ensures that the corporation remains compliant with relevant laws and regulations governing self-insured medical payment plans in Indiana. It establishes reporting mechanisms and outlines responsibilities for filing necessary documentation. 2. Variations or Types of Indiana Corporate Resolutions: While the concept of an Indiana Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees remains consistent, there may be variations based on the unique needs of each corporation. Some potential types or variations of such resolutions include: a. Large corporation vs. Small business resolutions: Corporations of varying sizes may require different approaches to their self-insured medical payment plans. The resolution may be tailored to suit the specific needs and resources of each organization. b. Industry-specific resolutions: Depending on the nature of the corporation's industry, additional considerations may come into play. Examples include hazardous occupations, specialized medical needs, or specific regulatory requirements for certain sectors. c. Tiered benefit resolutions: Some corporations may choose to create tiers within their self-insured plans, offering varying levels of coverage based on employee positions or seniority. This allows the corporation to provide a differentiated benefits package to key employees. d. Combination resolutions: In some cases, corporations may choose to combine self-insured medical payment plans with other benefit programs, such as health savings accounts or wellness initiatives. This type of resolution outlines the integration of various benefits to create a comprehensive package. Conclusion: An Indiana Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees is a crucial document that enables corporations to offer robust medical coverage to their key employees. By outlining the scope, eligibility, funding, administration, and compliance aspects of the plan, this resolution ensures transparency, fairness, and legal compliance. Depending on the corporation's size, industry, or benefit preferences, variations or types of such resolutions may be implemented to suit specific needs.Indiana Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees Keywords: Indiana, corporate resolution, self-insured, medical payment plan, key employees Introduction: In Indiana, corporations have the option to establish a self-insured medical payment plan for their key employees. This corporate resolution serves as a legal document that outlines the terms and conditions of the plan, ensuring that key employees receive adequate medical coverage. This article will provide a detailed description of what an Indiana Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees entails, along with any potential variations or types of such resolutions. 1. Key Features of the Indiana Corporate Resolution: The Indiana Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees is a comprehensive document that sets out the following key features: a. Scope and Coverage: The resolution clearly defines the scope of coverage provided under the self-insured medical payment plan. It outlines the extent of medical services covered and any restrictions or exclusions, ensuring clarity for both the corporation and key employees. b. Eligibility Criteria: The resolution outlines the specific eligibility criteria for key employees to qualify for the self-insured plan. This may include criteria such as job position, tenure, or specific performance metrics. c. Funding Mechanism: The resolution establishes the funding mechanism for the self-insured plan. It delineates how the corporation will allocate resources, whether through a designated budget or contributions from both the corporation and key employees. d. Administration and Management: The resolution defines the administrative procedures and responsibilities of managing the self-insured plan. It may specify whether the corporation will handle administration internally or outsource it to a third-party provider. e. Reporting and Compliance: The resolution ensures that the corporation remains compliant with relevant laws and regulations governing self-insured medical payment plans in Indiana. It establishes reporting mechanisms and outlines responsibilities for filing necessary documentation. 2. Variations or Types of Indiana Corporate Resolutions: While the concept of an Indiana Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees remains consistent, there may be variations based on the unique needs of each corporation. Some potential types or variations of such resolutions include: a. Large corporation vs. Small business resolutions: Corporations of varying sizes may require different approaches to their self-insured medical payment plans. The resolution may be tailored to suit the specific needs and resources of each organization. b. Industry-specific resolutions: Depending on the nature of the corporation's industry, additional considerations may come into play. Examples include hazardous occupations, specialized medical needs, or specific regulatory requirements for certain sectors. c. Tiered benefit resolutions: Some corporations may choose to create tiers within their self-insured plans, offering varying levels of coverage based on employee positions or seniority. This allows the corporation to provide a differentiated benefits package to key employees. d. Combination resolutions: In some cases, corporations may choose to combine self-insured medical payment plans with other benefit programs, such as health savings accounts or wellness initiatives. This type of resolution outlines the integration of various benefits to create a comprehensive package. Conclusion: An Indiana Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees is a crucial document that enables corporations to offer robust medical coverage to their key employees. By outlining the scope, eligibility, funding, administration, and compliance aspects of the plan, this resolution ensures transparency, fairness, and legal compliance. Depending on the corporation's size, industry, or benefit preferences, variations or types of such resolutions may be implemented to suit specific needs.
