Alegeus Introduces Enhanced Support for Voluntary Employee Benefit Associations (VEBA)
Published on September 14th, 2016
Alegeus, the market leader in consumer directed healthcare (CDH) solutions, today unveiled new capabilities for the administration of Voluntary Employee Benefit Associations (VEBAs). The new VEBA features are an enhancement to the core Alegeus benefit account administration platform – designed specifically to manage the unique requirements of VEBAs. For Alegeus clients, this means that offering and administering VEBA programs is now simply an added capability of their existing platform, operational infrastructure, and customer engagement channels.
VEBAs are tax-exempt employee benefit trusts – which have been used for years by private sector and Taft-Hartley health and welfare benefits. VEBAs are a type of health reimbursement arrangement in which employers contribute funds on behalf of their employees into trust accounts. The funds placed in these trusts can then be used by employees to help pay for eligible healthcare-related expenses – similar to other tax-advantaged benefit accounts. For businesses that already offer flexible benefit accounts, VEBAs are a natural extension of their product portfolio.
“We know many of our clients are offering VEBA products to the market, and we are very excited to now be able to offer them complete administrative and operational support – as a seamless extension of their existing benefit account technology partnership,” said Steven Auerbach, Alegeus CEO. “This enhancement is yet another example of Alegeus’ commitment to innovation and to leading the market with solutions and services that help our clients fully unlock the consumer directed healthcare market opportunity.”
Built on the strong foundation of Alegeus’ industry-leading HRA capabilities, the Alegeus platform now provides comprehensive administrative and operational support for VEBAs – including plan setup, configuration, funding, claims processing, debit cards, and more. The platform also includes specialized capabilities to handle the unique characteristics of VEBAs – such as configuring maintenance fees and interest models, integrated investment options, and the ability to hold funds at the trust of your choosing. And, VEBAs are now a seamless component of Alegeus’ industry-leading consumer engagement channels – including mobile, online, IVR, and more.
“At Peak1, we view VEBAs as a tremendous untapped market opportunity. Today’s rising healthcare costs are prompting unions and public sector clients to consider alternatives to traditional employee health benefit models – just like all private sector employers. They’re looking for new, cost-prohibitive options that can help mitigate employees’ rising financial responsibilities,” said Greg Emerson, Peak1 Administration COO. “In addition to supporting our core CDH offerings (including FSAs, HSAs, HRAs), the Alegeus platform will enable Peak1 to win new business and strengthen customer relationships – with a full-featured VEBA product offering that offers tremendous competitive advantage.”
For more information on the Alegeus VEBA administration solution, click here to register for our upcoming web seminar, Expand Your Market Opportunity with VEBAs.
With more than 25 years of growth and innovation, Alegeus is the market leader in SaaS-based healthcare payment solutions. Our highly flexible, white-label platform powers account-based benefit programs such as HSAs, FSAs, HRAs, COBRA, wellness incentives, lifestyle benefits and beyond. We deliver exceptional user experiences and differentiated capabilities that help our partners strengthen their product offerings, operate more efficiently, and unlock their full growth potential. Our partnerships with the industry’s leading health plans, third-party administrators, financial services and benefit solution providers give Alegeus unparalleled reach in the market, with access to more than 100 million commercially insured Americans. And our unique partnership model empowers our clients to achieve outsized results – growing their programs at a rate that is 3-4X the market, and with the highest net promoter scores (NPS) in the industry. We never compete with our clients in the market – we win when they win. Alegeus is headquartered in Waltham, Mass., with operations centers in Orlando and Bangalore, and a large remote workforce.