1. The employer chooses a high-deductible health insurance plan from the insurance company of their choice.

2. The employer helps the employee pay part of the deductible and/or co-insurance if and when the employee needs to used the health insurance plan.

3. The insurance company pays covered claims in excess of the deductible and co-insurance.

A Sample MERP Plan in Action

This employer chose a high-deductible health insurance plan with a $2,000 deductible and co-insurance up to $10,000 of expenses

Then, through RP Riley Management Group, the employer offers a MERP plan to help employees offset the expense of the higher deductible, including:

• A much lower deductible of $250
• After the $250 deductible is met, the employer reimburses 80% of expenses up to $1,750
• The employer requires and office co-pay of $15, but reimburses the balance of expenses for office visits up to $1,400
• After the $2,000 deductible of the health insurance plan is met, the employee splits the expenses with the insurance company 80/20

Escalating Costs of Medical Insurance Plans RP Riley Can Reduce Your Medical Insurance Cost Why the need for a MERP Administrator? Why use RP Riley as a MERP Administrator? A MERP Can Help Your Business How a MERP works Will a MERP really save my company money?