Go Back   Askaboutmoney.com > General Financial Issues > Health Insurance and healthcare costs

Reply
 
Thread Tools
  #1  
Old 08-11-2011, 11:43 AM
Dinny Dinny is offline
Frequent Poster
 
Posts: 250
Default Health Insurance paid by Employer

Can anybody make any suggestions here.

My wife who is employed currently pays for our family health Insurance with Quinn Healthcare.

I am involved in a very small limited company as a partner and could therefore get the company to pay for our family health insurance and I would pay the BIK. This works out cheaper when you work everything back to gross.

When I contacted Quinn to ask if it was possible to put the insurance in my company's name they stated that I would need at least 5 employers to set up a company group scheme. They could change the policy into my name instead of my wife's but could only quote me the Net amount after tax relief.

According to the Revenue guidelines if a company pays your heath insurance , it has to pay the gross amount and the employee then has to claim back the tax relief at a later stage.

The only partial solution I can see is to transfer the policy into my name , let the company pay the premium and then pay the BIK myself, as the result is effectively the same. Theoretically however I have not applied revenue guidlines and for all I know they could determine that I have received a payment from my company and would be liable to PAYE etc on the payment.

Can anybody suggest a way of solving this problem or do I just have to accept that an employer without a company group scheme cannot pay health insurance for its employees.
Reply With Quote
  #2  
Old 08-11-2011, 11:55 AM
onq onq is offline
Former user
 
Location: Dublin
Posts: 4,409
Default

Quote:
Originally Posted by Dinny View Post
Theoretically however I have not applied revenue guidlines and for all I know they could determine that I have received a payment from my company and would be liable to PAYE etc on the payment.
Why not contact the Revenue directly and ask them?
Reply With Quote
  #3  
Old 08-11-2011, 08:41 PM
pj111 pj111 is offline
Frequent Poster
 
Posts: 370
Default

Try a different insurer to Quinn to get a group scheme.

Patrick
Reply With Quote
  #4  
Old 13-11-2011, 09:46 PM
NovaFlare77 NovaFlare77 is offline
Frequent Poster
 
Location: Dublin
Posts: 442
Default

Dinny, if you haven't done so already, check with Revenue how a company has to pay the gross premium.

It used to that a company would pay the net premium to the insurer and then pay the balance to Revenue with their annual tax returns.

If that's still the case, then you can do as you suggest and have the company pay your policy directly, with them then charging BIK on the gross premium. Your membership certificate shows the total gross premium as well as the final net cost so the company should have all the figures they need from that.

There may be a small complication if anyone on the policy is over 60, because of the way that age bracket gets additional tax relief, but that may not apply in your case.

One other thing to consider if you go ahead as you propose is that there will be no direct communication between your insurer and your employer. So if a payment is missed for some reason, the reminder will go to you and so on. You won't be swamped with stuff, but just bear it in mind, especially if the price increases at renewal or the like.
Reply With Quote
Reply

Thread Tools

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

Forum Jump


All times are GMT +1. The time now is 12:07 AM.