Introduction to ZanePRA: Training for Insurance Agents and CPAs

ZanePRA Training for Zane Affiliates

Who Partners with Zane Benefits?

Existing partners include: ● Insurance Professionals● CPAs & Accountants● General Agencies● Insurance Companies● Payroll Providers

LEARN MORE: ZaneBenefits.com/Partners

● PEO and HR Outsourcing● Chambers of Commerce● Franchises and Associations● Website Affiliates● Other

DISCLAIMERThe information provided herein by Zane Benefits is general in nature and should not be relied on for commercial decisions without conducting independent review and analysis and discussing alternatives with legal, accounting, and insurance advisors. Furthermore, health insurance regulations differ in each state; information provided does not apply to any specific U.S. state except where noted. See a licensed agent for detailed information on your state. www.ZaneBenefits.com

FREE DEMO: ZaneBenefits.com/Request-a-Demo

Subscribe to Clarifying Health: www.zanebenefits.com/blog

Let’s Connect!

Zane Benefits Awareness

UnitedHealth is encouraging 100s of its independent agents to take an online course offered by Zane Benefits to learn how to market individual plans at companies

Even if Berneche carries out his plan to nearly double the size of his company, he still expects to save at least $360,000 this year with the new [Zane Benefits] program

Zane Benefits works with companies to help them give employees a tax-free allowance to purchase individual policies

Zane Benefits' Founder Paul Zane Pilzer writes that employer sponsored group health insurance will be “mostly eliminated” in the next 20 years.

Zane Benefits' Paul Zane Pilzer speaks on HRAs, Individual Health Policies, and Defined Contribution Health Benefits

Forbes.com on "Getting Better Health Insurance" featuring Zane Benefits' Founder Paul Zane Pilzer

● Founded in 2006● Clients in all 50 States● Distributed nationally by top Insurance Companies, Brokers and

Payroll Cos since 2009

Small Business Health Insurance - Today

Less than 50% of small businesses offer group health:

● Cost is too high - 61%● Firm is too small - 13%● Turnover is too great - 6%● Other - 20%

3,000,000small businesses

without group health

Quick ZanePRA Overview

What is ZanePRA?

• Is Zane's Section 125 product for pre-tax individual health insurance reimbursement

• Allows employers to offer health benefits at zero net cost

• Increases individual health conversions and retention rates

ZanePRA...

What is a PRA?

● PRAs allow employers (ERs) and employees (EEs) to pre-tax individual health insurance premiums

● It’s like a 401k for individual health insurance

● Saves ERs 7.65% in payroll taxes

● Saves EEs 20-40% in federal/states taxes

INCREASES INDIVIDUAL HEALTH SALES & RETENTION

How Employee Benefits

● Save 20-40% by paying health insurance premium with pre-tax rather than after-tax dollars

● Choose the individual health insurance plan best for them

● Cover the cost of supplemental coverage like dental or vision insurance with pre-tax dollars

PRAs help employees...

How Employer Benefits

● Reduce the amount of the company’s FICA tax

● Recruit new employees with a health benefit offering

● Increase employee retention by providing tax-savings for increased employee compensation

PRAs help employers...

Zane Benefits PRA Overview - Simple

1. Creates plan

2. Sets eligibility

3. Picks start date

The Employees.... 4. Enrolls employees

6. Pre-taxes premium on payroll

The Employer...

1. Purchase individual policies

2. Submit "claims" to get pre-taxed

5. Sends welcome kits

HUGE Opportunity

How Broker Benefits

1. Purchase individual policies

● Relationship with employer and employees○ Two Sales - 1) Employer and 2) Employee

● Employer = lead generator ○ Average annual turnover = 50% for small businesses

● New role - help employees choose vs sell○ Like investment advisor helps employee choose best

401(k) investments

HUGE Opportunity

PRA Example: 4 EE Company

1) Employer creates PRA plan

ER w/o Insurance4 EEs with individual plans

ER Creates PRA Plan

2) Tax savings are based on individual premiums

Employee Name

Monthly Premium

Estimated Tax Rate

Monthly EE Savings

Monthly ER Savings

John 300 20% $60 $22.95Susan 200 25% $50 $15.30Steve 500 30% $150 $38.25Mary 100 35% $35 $7.65

Win, Win, WinSavings based on

individual premiums

ER Annual Savings: $1,010

EE Annual Savings: $3,540

Overview of PRA Pre-tax Process

EmployeePay Bill

and RequestPre-Tax

Carrier

EmployerApprovePre-Tax

Add Pre-taxvia Payroll

Zane BenefitsValidatePre-TaxRequest

PresentAmounts

to Employer

BillEmployee

Payroll Supplier

PRA Example: John Saves $1,080/yr

Monthly Take Home PayWithout PRA

Salary.......................................... $4,000

Taxable Salary........................... $4,000

Taxes (30%)............................... -$1,200

Net take home pay.................... $2,800

Monthly Take Home Paywith PRA

Salary.......................................... $4,000Pre-tax PRA deduction………..……….. -$300

Taxable Salary ......................... $3,700

Taxes (30%)............................... -$1,110Tax-free PRA addition…….............. +$300

Net take home pay................... $2,890

Net Savings: $1,080/year

John pays 30% of his salary in taxes and has a $300/mo policy

ZanePRA Administration

Why We Need PRA Administration

Employers / Employees Brokers / CPAs

1. Tax Savings● 100% tax-free individual

health insurance

2. Compliance● IRS/ERISA/HIPAA

3. Ease of Use● Pre-taxing occurs via

payroll in 3-5 minutes per month

1. Sales Assistance● Need Partner for PRA

Expertise

2. Implementation & Support● Need Partner for PRA

Implementation & Support

3. Insurance Integration● Technology integration

increases quote opportunities

Paperless Setup

The setup process is 100% paperless and takes less than 15 minutes to complete.

1. Signup FormClient completes the 2-page

signup form online.

2. PRA DesignZane Benefits walks the client through the PRA plan design

wizard via webinar.

3. Online EnrollmentThe software automatically

generates required documents, and employees "electronically

sign" all of their documents with one click of a mouse.

Online Claims Submission

● Fast Processing: Once submitted, claims are processed within 2 business days (typically in 1-2 hours).

● HIPAA-Privacy: All claims are kept HIPAA-protected and stored with receipts for employee convenience.

● Real-time Notifications: Employees receive email notifications at every step of the claims process.

Payroll Integration

● Clients use existing payroll to pre-tax premiums

● Administration only takes a few minutes per month

● No separate checks and no pre-funding of third party bank accounts

Simple Referral Process

Employer Referral and Sales Process

Register Leads at www.zanebenefits.com/refer

Introductory Call

PlanSetup

Demo

Proposal

● We will assist you with every step of the sales process

● Use us extensively for first 3 sales

Who Partners with Zane Benefits?

Existing partners include: ● Insurance Professionals● CPAs & Accountants● General Agencies● Insurance Companies● Payroll Providers

LEARN MORE: ZaneBenefits.com/Partners

● PEO and HR Outsourcing● Chambers of Commerce● Franchises and Associations● Website Affiliates● Other

DISCLAIMERThe information provided herein by Zane Benefits is general in nature and should not be relied on for commercial decisions without conducting independent review and analysis and discussing alternatives with legal, accounting, and insurance advisors. Furthermore, health insurance regulations differ in each state; information provided does not apply to any specific U.S. state except where noted. See a licensed agent for detailed information on your state. www.ZaneBenefits.com

FREE DEMO: ZaneBenefits.com/Request-a-Demo

Subscribe to Clarifying Health: www.zanebenefits.com/blog

Let’s Connect!