Key Benefits of AG Care Vision/AG Care Continuity
A corporate-sponsored hospital plan is one of the most popular and highly coveted fringe benefits. But what happens when your staff members retire or find a job elsewhere?
When staff members leave the company (e.g. upon retirement), they have the option to continue their hospitalisation insurance on an individual basis if they fulfil the requirements of the Verwilghen Act.
They’ll need to apply by the prescribed deadline (within 105 days of losing their corporate hospital plan) and have been continuously enrolled in the plan for at least two years.
In today’s fast-changing market, however, the requirements for continuation coverage may vary greatly from one insurer to another.
Another important consideration is that the continuation coverage should provide at least equivalent benefits to the original plan in terms of:
refunds for pre-admission and post-discharge outpatient care expenses
critical illness-related treatment
To avoid any unpleasant surprises, AG insurance has systematically included the same unlimited covers in its AG Care Hospitalisation plan.
This way, staff members can rest assured they won’t be hit with maximum caps, personal contributions towards a hospital stay or restrictions on coverage while travelling abroad.
How much does individual continuation coverage cost?
Most of the time, individual continuation coverage comes with a hefty price tag. This is because the premium is based on age at the time of continuation. The older the applicant, the higher the premium.
At AG Insurance, the premium for individual continuation coverage remains constant over the lifetime of the contract and can only be revised to reflect statutory indexation. Other continuation coverage solutions also incorporate risk premiums.
This means that while the premium may be lower at the time of enrolment, the staff member will eventually experience rate hikes.
Fortunately, AG Insurance has come up with a way to neutralise the sting of higher initial premiums. The solution? AG Care Vision, a supplementary insurance plan that’s unique on the market.
With AG Care Vision, staff members get to lock in their premium as soon as they sign up for the plan, saving themselves thousands of euros when they retire and continue their hospitalisation insurance on an individual basis.
One of your staff members takes out an AG Care Vision contract in 2018, at the age of 37. In 2048, at 67, he retires and loses his corporate hospitalisation coverage. At that time, AG Care Vision is converted into a full-fledged AG Care Hospitalisation plan. Even after 2048, he’ll only be charged the applicable rate for a 37-year-old in 2018 (+ annual indexation), not the rate for a 67-year-old in 2048.
Click HERE for more information or contact your regular representative at AG Employee Benefits/Health Care.