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.
Oklahoma Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees: A Comprehensive Guide Introduction: The Oklahoma Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees is a crucial document that outlines the framework for implementing a self-insured medical payment plan for key employees within a corporation. This resolution is specifically tailored to companies in Oklahoma, ensuring compliance with state laws and regulations. By establishing such a plan, corporations aim to provide their key employees with comprehensive healthcare coverage while controlling costs effectively. This detailed description will delve into the various aspects of this resolution and shed light on its significance. 1. Key Features of the Resolution: The Oklahoma Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees encompasses several key elements, including: a. Eligibility Criteria: This resolution defines the criteria for determining which employees qualify as key employees and are eligible for enrollment in the self-insured medical payment plan. b. Plan Design: The resolution outlines the plan's design, specifying the range and extent of medical coverage provided, such as hospitalization, prescription drugs, preventative care, mental health services, and more. c. Funding Mechanism: It details the funding mechanism for the plan, typically involving contributions made by the corporation itself to cover medical expenses for enrolled key employees. It may further explain the procedures for managing the plan's finances and administration. d. Enrollment and Termination Procedures: The resolution establishes the procedures for enrolling eligible key employees into the self-insured plan and describes the circumstances under which an employee's coverage may be terminated. e. Plan Governance: This section outlines the structure of the entities responsible for managing the plan, including appointed officers, administrators, and any necessary committees. It may also elucidate their respective roles and responsibilities. 2. Types of Oklahoma Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees: There can be variations of the Oklahoma Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees, depending on the specific needs and preferences of the corporation. Some notable types include: a. Basic Medical Payment Plan: This resolution establishes a straightforward self-insured payment plan for key employees, providing essential medical coverage and adhering to the minimal requirements set forth by Oklahoma state laws. b. Enhanced Medical Payment Plan: This resolution builds upon the basic plan, offering additional benefits and coverage options to key employees. It may include extended prescription drug coverage, dental and vision benefits, and specialized treatments. c. Customized Medical Payment Plan: This type of resolution is tailored to meet the unique requirements of an individual corporation. It allows companies to incorporate specific provisions or enhancements based on their business model, industry, or employee demographics. Conclusion: The Oklahoma Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees is an instrumental document that enables corporations in Oklahoma to proactively manage their employees' healthcare needs. By implementing this resolution, businesses can provide comprehensive medical coverage for their key employees while maintaining cost control and adhering to legal regulations. Choosing the appropriate type of resolution ensures alignment with the company's objectives, resulting in a well-designed and tailored self-insured medical payment plan.Oklahoma Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees: A Comprehensive Guide Introduction: The Oklahoma Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees is a crucial document that outlines the framework for implementing a self-insured medical payment plan for key employees within a corporation. This resolution is specifically tailored to companies in Oklahoma, ensuring compliance with state laws and regulations. By establishing such a plan, corporations aim to provide their key employees with comprehensive healthcare coverage while controlling costs effectively. This detailed description will delve into the various aspects of this resolution and shed light on its significance. 1. Key Features of the Resolution: The Oklahoma Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees encompasses several key elements, including: a. Eligibility Criteria: This resolution defines the criteria for determining which employees qualify as key employees and are eligible for enrollment in the self-insured medical payment plan. b. Plan Design: The resolution outlines the plan's design, specifying the range and extent of medical coverage provided, such as hospitalization, prescription drugs, preventative care, mental health services, and more. c. Funding Mechanism: It details the funding mechanism for the plan, typically involving contributions made by the corporation itself to cover medical expenses for enrolled key employees. It may further explain the procedures for managing the plan's finances and administration. d. Enrollment and Termination Procedures: The resolution establishes the procedures for enrolling eligible key employees into the self-insured plan and describes the circumstances under which an employee's coverage may be terminated. e. Plan Governance: This section outlines the structure of the entities responsible for managing the plan, including appointed officers, administrators, and any necessary committees. It may also elucidate their respective roles and responsibilities. 2. Types of Oklahoma Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees: There can be variations of the Oklahoma Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees, depending on the specific needs and preferences of the corporation. Some notable types include: a. Basic Medical Payment Plan: This resolution establishes a straightforward self-insured payment plan for key employees, providing essential medical coverage and adhering to the minimal requirements set forth by Oklahoma state laws. b. Enhanced Medical Payment Plan: This resolution builds upon the basic plan, offering additional benefits and coverage options to key employees. It may include extended prescription drug coverage, dental and vision benefits, and specialized treatments. c. Customized Medical Payment Plan: This type of resolution is tailored to meet the unique requirements of an individual corporation. It allows companies to incorporate specific provisions or enhancements based on their business model, industry, or employee demographics. Conclusion: The Oklahoma Corporate Resolution Establishing a Self-insured Medical Payment Plan for Key Employees is an instrumental document that enables corporations in Oklahoma to proactively manage their employees' healthcare needs. By implementing this resolution, businesses can provide comprehensive medical coverage for their key employees while maintaining cost control and adhering to legal regulations. Choosing the appropriate type of resolution ensures alignment with the company's objectives, resulting in a well-designed and tailored self-insured medical payment plan.
