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.
A New York Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees is a formal document adopted by a corporation in New York to establish a plan that provides medical payment coverage for its key employees. This plan enables a corporation to self-insure medical payments for specified key employees, rather than relying solely on insurance companies. Key employees, commonly known as top executives or highly valued personnel, play a crucial role in the success of a corporation. In recognition of their contribution, corporations opt to provide them with a special medical payment plan, ensuring comprehensive healthcare coverage tailored to their specific needs. The resolution outlines the corporation's intent to establish such a plan, the purpose it aims to serve, the designated key employees who will be eligible for this coverage, and the specific medical expenses that will be covered. It also details the funding mechanism that the corporation will utilize to administer the self-insured plan effectively. The New York Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees must comply with state laws and regulations governing self-insured plans, including the New York State Department of Financial Services guidelines. This ensures that the plan adheres to statutory requirements and protects the interests of both the corporation and the covered key employees. Several types of New York Corporate Resolutions Establishing a Self-insured Medical Payment Plan for Key Employees may exist, depending on specific circumstances or variations in employee benefits. However, the primary goal remains consistent across all types: to provide comprehensive medical coverage for key employees, enhancing their overall compensation package. Some potential variations or types of New York Corporate Resolutions Establishing a Self-insured Medical Payment Plan for Key Employees might include: 1. Executive Medical Payment Plan: Designed exclusively for top-level executives in the corporation, this plan offers high-end medical coverage, including specialized treatments, access to prestigious healthcare providers, and enhanced benefits such as private hospital rooms or concierge services. 2. Key Employee Medical Reimbursement Plan: This plan reimburses eligible key employees for medical expenses incurred outside a traditional health insurance network, allowing individuals greater flexibility in choosing their healthcare providers or treatments. 3. High-Deductible Health Plan with Health Savings Account: This type of plan combines a high-deductible health insurance policy with a health savings account. It is typically offered to key employees and allows them to accumulate funds tax-free to cover eligible medical expenses. 4. Supplemental Medical Payment Plan: This plan provides additional medical payment coverage to complement existing health insurance for key employees. It covers expenses that may not be fully reimbursed by primary insurance plans, such as deductibles, co-payments, or specific treatments not covered by standard policies. In summary, a New York Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees is a formal legal document that outlines the corporation's commitment to providing comprehensive medical coverage to its valued key employees. By implementing such a plan, the corporation aims to enhance employee benefits, attract top talent, and ensure the well-being and satisfaction of these essential contributors to its success.
