24,000 GM employees to receive “Direct-to-employer” low cost health insurance option

The company General Motors recent announced on Monday that close to 24,000 employees working for the firm shall receive the latest “Direct-to-employer” health insurance which is a low cost option for the employees as well as their families living in the South-eastern periphery of Michigan.

The plan has been named as GM ConnectedCare which would cost from $300-$900 less from the overall annual contribution from the payroll. This is much lower than the current insurance plan provided by the automaker for its employees. This would require the employees to seek out help for any kind of health issues including any kind of surgery only to be opted from Henry Ford Health System.

ConnectedCare Health insurance option shall only be available for the salaried employees working at GM and live in one of the 7 counties with a health system that has a series of hospitals, clinics, and many others along with 3000+ doctors. These counties in the South-eastern Michigan include the places such as Macomb, Wayne, Washtenaw, Oakland, Livingston, St. Clair, and Lapeer. The plan for this insurance would match closely with the annual deductibles of the current least expensive plan by GM for health insurance which stands at $1500 for the individual employees and goes higher for the ones with families.

GM is a Detroit-based company which plans to offer this option for health care insurance in the upcoming year along with the existing choices for insurance plans. Apart from the ConnectedCare, the company also offers plans such as PPO which comes with a higher range of choices in terms of picking a good doctor. However, this option comes with higher premiums.

ConnectedCare is all set to tag GM as the largest employment firm located in Michigan that flaunts a direct contract with the hospital system in order to provide its employees with the best healthcare facility at lower insurance premiums. When you take a look at the nation as a whole, several corporations which includes names like Whole Foods and Boeing have brought along the “Direct-to-Employer” plans for health insurance to work as a strategy that will effectively bring down the yearly expenses on health care requirements.

Similarly, Ford Motor Co. started an initiative that was of a similar nature during the latter half of 1990s. It was named Partnership Health and involved a direct partnership along with the hospital system of University of Michigan. This particular experiment with insurance started in the year 1998. However, it failed to continue given the lack of participation.

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