How important is vision insurance, and should I offer it to my employees? If I am an employee, why should I opt-in to purchasing it?

What is Vision Insurance?

Vision insurance is an ancillary product that can be purchased to be an added benefit for an employer, and a great personal benefit to all who receive it. Vision insurance is actually one of the most purchased ancillary products because sight is one of the greatest joys we tend to protect (not to mention how important it is for our society in the 21st century); vision insurance is popular because it helps us retain our sight for less while also keeping us healthy (many diseases, such as diabetes, can be spotted prior to bodily symptoms through routine eye exams). Vision insurance can come with copays (a fixed payment for a service or product), coinsurance (a percentage of the cost will be paid by the insurer, and you pay the rest. Such as 80/20), or in benefits (lump sums of cash, such as having the carrier send you $250 for surgery to help mediate the expense). Vision insurance will also generally come with the option to have both in-network coverage and out-of-network coverage, which gives the member a choice as to where they want to purchase services or products, similar to preferred provider plans (PPO) in health insurance.

What forms of Vision Insurance can be provided?

Vision insurance can come in two forms: employer sponsored plans or voluntary plans. Employer sponsored vision insurance plans are plans where the employer pays a percentage of the premium (which can vary on carrier), for example, your employer may pay 50% of the premiums. Voluntary is when employees chose to purchase the vision insurance by themselves, thus having to pay 100% of the premium. However, since these are group rates, they will most likely be less expensive than individual rates and provide other incentives as well (depending on the carrier.)

What are the some benefits Vision insurance can provide me?

The main benefit of vision insurance is the eye exams (which are normally copays) and, from that exam, purchasing prescription glasses or contacts with allowance (lump sum usually given annually). Eye exams are more important than you may believe; many eye diseases or conditions can occur without being visible to the naked eye, and eye exams have the ability of spotting these conditions and diseases. There is a possibility that an individual’s eye is going through degeneration without their knowledge, and having the exam could save them from being temporarily, partially, or completely without sight. Other benefits may include discounts on vision services or products, allowance for laser eye surgery, fully covered (no cost to you) single pair of lenses with options, and so on. You may also have fully covered frames (no cost to you) until a certain maximum, and then you may have to pay coinsurance for the remaining dollar amount that exceeds the given maximum.

Can I have coverage for my dependents?

Most plans will offer you dependent coverage. Adding a dependent to your plan will increase your premiums (because you are paying for another insurance policy on your dependent).

Is my company eligible for Vision Benefits, and if so, what are the eligibility guidelines?

Normally you will need at least one W-2 Employee (after including yourself if you are an employer) with a participation requirement that varies based on the amount of employees you have and the carrier you purchase the vision insurance from (some carriers you will have to meet a higher number of employees because you have the option of purchasing vision after you have purchased medical). Participation is the amount of employees that are going to take advantage of the vision insurance and either purchase it or accept it (if the employer pays 100% of the premiums), although, if an employee doesn’t become insured with the vision insurance, they may still count towards your participation if their decline was a qualified waiver (there are ways to count as a qualified waiver, but it varies on carriers). Voluntary benefits (100% paid by the employer) can be purchased with no minimum requirement; it just depends on the carrier.

Is Vision Insurance expensive?

Generally speaking, vision insurance is actually quite inexpensive compared to most insurance premiums. Check with your provider to see exactly how expensive it is; you will most likely be presently surprised.

 

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