FSI initiates financial advisors health insurance plan

The Financial Services Institute (FSI) has launched its national health insurance program, noting the initiative provided a new way for independent financial advisors to obtain ACA-compliant major medical health insurance.

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The FSI indicated the offering would also aid licensed staff, as well as their families at a fraction of the cost of plans on the open market, noting advisors’ previous health insurance acquisition offers were limited to purchasing plans directly from insurance carriers or through the online marketplaces established by the Affordable Care Act (ACA).

Both options were accompanied by high premiums, deductibles, and out-of-pocket maximums. Financial advisors do not typically qualify for subsidies for ACA plans because of income levels.

“The beauty of the independent model lies in the freedom it gives advisors to open their own business and run it as they choose,” Chris Paulitz, FSI’s head of Strategic Initiatives, said. “Yet healthcare premiums larger than their mortgages can constrain their ability to reach their full potential. Our health insurance plans level the playing field for financial advisors, and they no longer have to shoulder their burden alone.”

Scott Spiker, FSI board member and chairman of First Command Financial Services, said the plan is what the industry has needed for a long time.

“Advisors should take a serious look at this plan and switch now. I’m urging my advisors to do that and would urge all advisors to do the same,” he said.

The plans offer advisors, licensed staff, and their families coverage at up to 50 percent savings compared with the open market, officials said, outlining they are national PPO plans available in all 50 states – enabling covered members to go to virtually any doctor and comply with all ACA requirements.