When browsing health insurance plans in the app, check the labels next to each plan’s name to understand its type.
Definitions:
- On-Exchange: BEN360 purchases this plan for you from the Health Insurance Marketplace (“Exchange”).
- Off-Exchange: BEN360 purchases this plan for you directly from insurance companies.
- On & Off-Exchange: This plan is available both on-exchange and off-exchange. You can choose the plan source you prefer after clicking “Enroll.”
Choosing Between On-Exchange and Off-Exchange Plans
Choosing between on-exchange and off-exchange plans does not change the regular enrollment process for you. The process remains simple and straightforward, ensuring it’s always easy for you!
We encourage considering on-exchange plans because they are responsive in accommodating changes and troubleshooting any issues that may arise. More details are outlined below.
Why choose On-Exchange?
- Ease of Management: Managing on-exchange plans can be simpler due to standardized processes and direct integration with government systems.
- Regulatory Oversight: On-exchange plans are subject to strict regulatory standards enforced by government agencies, ensuring compliance with consumer protections and coverage requirements.
- Consumer Protections: On-exchange plans often provide enhanced consumer protections, such as guaranteed coverage for pre-existing conditions and essential health benefits, which may not be required for off-exchange plans.
Why choose Off-Exchange?
- Pre-Tax Benefits: (This benefit applies only if your selections require payroll deductions for health insurance premiums.) Premiums for off-exchange plans are commonly paid with pre-tax dollars when deducted from your paycheck by your employer. This reduces your taxable income, potentially lowering your overall tax liability.
- We recommend consulting with a qualified tax advisor or accountant to understand how choosing an off-exchange plan may impact your specific tax situation.