Simply Communities
Introducing the launch of Simply Communities, a hybrid version of community rating and new pricing approach designed to better meet the needs of SME clients with under 250 policies
Making renewals fair and affordable for all
Smaller organisations are often exposed to large premiums when staff use their policy , giving bigger companies an unfair advantage in improving health and wellbeing and recruiting talent.
Simplyhealth want to make healthcare fair and affordable for companies with under 250 employees as smaller companies were being impacted by sizable price increases when only a small number of employees used their plan. By giving companies the benefit of a larger risk pool, we can ensure less volatility in terms of price and provide the same advantages of being a larger company.
A sustainable solution:
By being part of the community pricing pool, clients with less than 250 employees are at a lower risk of high premiums at renewal
Clients with a claims loss ratio of up to 90% will only receive a 5% increase in premium at renewal
There is no compromise on the product with all providers and service levels remaining the same
So, what does this look like for you?
Simply Communities is a new pricing approach designed to better meet the needs of our SME clients with under 250 policies.
This hybrid version of community rating means clients with a CLR under 90% will receive a 5% increase. For schemes over 91%, the increase applied is outlined in the table below.
Community banded rating
Client CLR | Increase | Typical increases outside community rating |
CLR between 0 – 90% | 5% increase | |
CLR between >90% - 120% | 20% increase | 91% CLR – 36.5% increase |
CLR between >120% - 150% | 35% increase | 121% CLR – 81.5% increase |
CLR over >150% | 50% increase | 151% CLR – 126.5% increase |
Frequently asked questions
Is this change permanent?
This new approach will be reviewed in the Summer of 2024 and any changes such as adjustments to the matrix, if needed, will be applied from January 2025 and communicated well in advance.
Does this apply to all plan types?
Yes, the changes apply to both flex and funded Health Plan clients.
When is this effective from?
This will come into place for all renewals from the 1st September 2024 onwards.
What MI is available?
We can provide you with an MI pack that will show details on how the plan is used.
What if I want a better or different rate?
Unfortunately, the banding is non-negotiable to make it fair for everyone. Your CLR will be determined at the 8th month point and your band will be set.
Does the <250 figure include partners and children?
No, we are looking at clients who have <250 employees only.
Speak to your Account Manager for more details by contacting our Corporate Sales team.