APPLE VALLEY, Minn.– The Minnesota Credit Union Network (MnCUN) has launched the new Minnesota Credit Union Employee Benefits Plan. The plan was approved by the Minnesota Department of Commerce in late August and to date, the plan has received nearly 40 requests for quotes from member credit unions headquartered in the state, the MnCUN said. The Employee Benefits Plan was formally introduced during a reception at Wings Financial Credit Union.
“Minnesota credit unions are using the cooperative model to take advantage of economies of scale and reduce the cost volatility of employee health plans while providing high-quality, health insurance options for employees,” said Mark Cummins, president and CEO of MnCUN.
The MnCUN said Association Health Plans work by allowing businesses of a common association or industry to obtain healthcare coverage as if they were a single large employer; strengthening negotiating power with larger risk pools and lowering cost while improving administrative efficiencies.
The Minnesota Credit Union Network said it engaged Lockton Companies and Medica to design the plan and put the pieces in place to offer it to Minnesota credit unions.
6 Different Plan Designs
The Plan will offer credit unions six different health plan designs with both Preferred Provider Organization (PPO) and High Deductible Health Plan (HDHP) options. In addition, Medica provides several network choices including an Open Access national network and six lower cost regional Accountable Care Organization networks.
Capstone Administrators will manage the Plan as a third-party administrator using industry leading technology to streamline the benefits process from start to finish for enrolled credit unions.