introduction to zanepra: training for insurance agents and cpas
DESCRIPTION
Learn How to Provide Immediate Tax Savings on Individual Health Insurance Premiums to via ZanePRA: http://www.zanebenefits.com/ ZanePRA works best for companies that do not want to offer health insurance. With ZanePRA, employers allow employees to reimburse themselves for individual health insurance costs using pre-tax salary.TRANSCRIPT
ZanePRA Training for Zane Affiliates
Who Partners with Zane Benefits?
Existing partners include: ● Insurance Professionals● CPAs & Accountants● General Agencies● Insurance Companies● Payroll Providers
LEARN MORE: ZaneBenefits.com/Partners
● PEO and HR Outsourcing● Chambers of Commerce● Franchises and Associations● Website Affiliates● Other
DISCLAIMERThe information provided herein by Zane Benefits is general in nature and should not be relied on for commercial decisions without conducting independent review and analysis and discussing alternatives with legal, accounting, and insurance advisors. Furthermore, health insurance regulations differ in each state; information provided does not apply to any specific U.S. state except where noted. See a licensed agent for detailed information on your state. www.ZaneBenefits.com
FREE DEMO: ZaneBenefits.com/Request-a-Demo
Subscribe to Clarifying Health: www.zanebenefits.com/blog
Let’s Connect!
Zane Benefits Awareness
UnitedHealth is encouraging 100s of its independent agents to take an online course offered by Zane Benefits to learn how to market individual plans at companies
Even if Berneche carries out his plan to nearly double the size of his company, he still expects to save at least $360,000 this year with the new [Zane Benefits] program
Zane Benefits works with companies to help them give employees a tax-free allowance to purchase individual policies
Zane Benefits' Founder Paul Zane Pilzer writes that employer sponsored group health insurance will be “mostly eliminated” in the next 20 years.
Zane Benefits' Paul Zane Pilzer speaks on HRAs, Individual Health Policies, and Defined Contribution Health Benefits
Forbes.com on "Getting Better Health Insurance" featuring Zane Benefits' Founder Paul Zane Pilzer
● Founded in 2006● Clients in all 50 States● Distributed nationally by top Insurance Companies, Brokers and
Payroll Cos since 2009
Small Business Health Insurance - Today
Less than 50% of small businesses offer group health:
● Cost is too high - 61%● Firm is too small - 13%● Turnover is too great - 6%● Other - 20%
3,000,000small businesses
without group health
Quick ZanePRA Overview
What is ZanePRA?
• Is Zane's Section 125 product for pre-tax individual health insurance reimbursement
• Allows employers to offer health benefits at zero net cost
• Increases individual health conversions and retention rates
ZanePRA...
What is a PRA?
● PRAs allow employers (ERs) and employees (EEs) to pre-tax individual health insurance premiums
● It’s like a 401k for individual health insurance
● Saves ERs 7.65% in payroll taxes
● Saves EEs 20-40% in federal/states taxes
INCREASES INDIVIDUAL HEALTH SALES & RETENTION
How Employee Benefits
● Save 20-40% by paying health insurance premium with pre-tax rather than after-tax dollars
● Choose the individual health insurance plan best for them
● Cover the cost of supplemental coverage like dental or vision insurance with pre-tax dollars
PRAs help employees...
How Employer Benefits
● Reduce the amount of the company’s FICA tax
● Recruit new employees with a health benefit offering
● Increase employee retention by providing tax-savings for increased employee compensation
PRAs help employers...
Zane Benefits PRA Overview - Simple
1. Creates plan
2. Sets eligibility
3. Picks start date
The Employees.... 4. Enrolls employees
6. Pre-taxes premium on payroll
The Employer...
1. Purchase individual policies
2. Submit "claims" to get pre-taxed
5. Sends welcome kits
HUGE Opportunity
How Broker Benefits
1. Purchase individual policies
● Relationship with employer and employees○ Two Sales - 1) Employer and 2) Employee
● Employer = lead generator ○ Average annual turnover = 50% for small businesses
● New role - help employees choose vs sell○ Like investment advisor helps employee choose best
401(k) investments
HUGE Opportunity
PRA Example: 4 EE Company
1) Employer creates PRA plan
ER w/o Insurance4 EEs with individual plans
ER Creates PRA Plan
2) Tax savings are based on individual premiums
Employee Name
Monthly Premium
Estimated Tax Rate
Monthly EE Savings
Monthly ER Savings
John 300 20% $60 $22.95Susan 200 25% $50 $15.30Steve 500 30% $150 $38.25Mary 100 35% $35 $7.65
Win, Win, WinSavings based on
individual premiums
ER Annual Savings: $1,010
EE Annual Savings: $3,540
Overview of PRA Pre-tax Process
EmployeePay Bill
and RequestPre-Tax
Carrier
EmployerApprovePre-Tax
Add Pre-taxvia Payroll
Zane BenefitsValidatePre-TaxRequest
PresentAmounts
to Employer
BillEmployee
Payroll Supplier
PRA Example: John Saves $1,080/yr
Monthly Take Home PayWithout PRA
Salary.......................................... $4,000
Taxable Salary........................... $4,000
Taxes (30%)............................... -$1,200
Net take home pay.................... $2,800
Monthly Take Home Paywith PRA
Salary.......................................... $4,000Pre-tax PRA deduction………..……….. -$300
Taxable Salary ......................... $3,700
Taxes (30%)............................... -$1,110Tax-free PRA addition…….............. +$300
Net take home pay................... $2,890
Net Savings: $1,080/year
John pays 30% of his salary in taxes and has a $300/mo policy
ZanePRA Administration
Why We Need PRA Administration
Employers / Employees Brokers / CPAs
1. Tax Savings● 100% tax-free individual
health insurance
2. Compliance● IRS/ERISA/HIPAA
3. Ease of Use● Pre-taxing occurs via
payroll in 3-5 minutes per month
1. Sales Assistance● Need Partner for PRA
Expertise
2. Implementation & Support● Need Partner for PRA
Implementation & Support
3. Insurance Integration● Technology integration
increases quote opportunities
Paperless Setup
The setup process is 100% paperless and takes less than 15 minutes to complete.
1. Signup FormClient completes the 2-page
signup form online.
2. PRA DesignZane Benefits walks the client through the PRA plan design
wizard via webinar.
3. Online EnrollmentThe software automatically
generates required documents, and employees "electronically
sign" all of their documents with one click of a mouse.
Online Claims Submission
● Fast Processing: Once submitted, claims are processed within 2 business days (typically in 1-2 hours).
● HIPAA-Privacy: All claims are kept HIPAA-protected and stored with receipts for employee convenience.
● Real-time Notifications: Employees receive email notifications at every step of the claims process.
Payroll Integration
● Clients use existing payroll to pre-tax premiums
● Administration only takes a few minutes per month
● No separate checks and no pre-funding of third party bank accounts
Simple Referral Process
Employer Referral and Sales Process
Register Leads at www.zanebenefits.com/refer
Introductory Call
PlanSetup
Demo
Proposal
● We will assist you with every step of the sales process
● Use us extensively for first 3 sales
Who Partners with Zane Benefits?
Existing partners include: ● Insurance Professionals● CPAs & Accountants● General Agencies● Insurance Companies● Payroll Providers
LEARN MORE: ZaneBenefits.com/Partners
● PEO and HR Outsourcing● Chambers of Commerce● Franchises and Associations● Website Affiliates● Other
DISCLAIMERThe information provided herein by Zane Benefits is general in nature and should not be relied on for commercial decisions without conducting independent review and analysis and discussing alternatives with legal, accounting, and insurance advisors. Furthermore, health insurance regulations differ in each state; information provided does not apply to any specific U.S. state except where noted. See a licensed agent for detailed information on your state. www.ZaneBenefits.com
FREE DEMO: ZaneBenefits.com/Request-a-Demo
Subscribe to Clarifying Health: www.zanebenefits.com/blog
Let’s Connect!