The Chambers Plan is often promoted as the go-to group benefits solution for small businesses. And while it can be a solid choice for companies with just a handful of employees, it’s far from the best option if your team has grown beyond five people.

For businesses with more than five employees, traditional insurance solutions offer better pricing, more flexibility, and enhanced benefits—without the limitations that come with a pooled plan like the Chambers Plan. Let’s take a closer look at how traditional group benefits options outshine the Chambers Plan for growing businesses.

The Chambers Plan: Strengths and Weaknesses

The Chambers Plan operates on a pooled model, grouping small businesses together to access collective buying power. This approach helps very small organizations obtain benefits they might not otherwise afford, but it comes with drawbacks that become more pronounced as your business grows.

Key Weaknesses of the Chambers Plan:

1. Expensive for Larger Teams: As your team expands beyond five employees, the cost of the Chambers Plan becomes significantly less competitive. Pooled pricing isn’t optimized for larger groups, leading to higher premiums.
2. Limited Flexibility: The Chambers Plan offers standardized benefits with limited options for customization, making it harder to tailor coverage to your team’s specific needs.
3. Coverage Restrictions: In the first year, new users face caps on coverage amounts and limited usability, which can frustrate employees.
4. Group-Driven Rate Increases: Your premiums are tied to the claims experience of the entire pool, meaning your rates can increase even if your business has low usage.
5. Membership Requirement: To access the Chambers Plan, businesses must join their local Chamber of Commerce, adding an extra layer of cost and commitment.

Why Traditional Insurance Solutions Are Better for Businesses with 5+ Employees

When your business grows beyond five employees, traditional insurance solutions provide a more cost-effective and flexible way to offer group benefits. Here’s why they’re a better choice:

1. Lower Costs for Larger Teams

Traditional group benefits plans are priced based on your specific business and team size. Instead of pooled rates, your premiums reflect your company’s claims history and demographics, leading to more competitive pricing for larger groups.

2. Customized Benefits

Unlike the one-size-fits-all approach of the Chambers Plan, traditional insurance providers allow you to build a plan tailored to your team’s needs. Whether your employees prioritize extended health coverage, dental care, or wellness programs, you have the flexibility to design a package that works for everyone.

3. Comprehensive Coverage Without Restrictions

Traditional plans don’t limit coverage or usability in the first year, ensuring your employees have full access to the benefits they need right away. This improves employee satisfaction and reduces frustrations.

4. Stable and Predictable Rates

With traditional insurance, your premiums aren’t tied to the claims of other businesses. If your team has moderate usage, you benefit from stable rates instead of being penalized by the high claims of unrelated companies.

5. No Membership Fees

Traditional insurance solutions don’t require you to join any organization to access benefits. This eliminates the extra cost and administrative burden of maintaining Chamber of Commerce membership.

How We Beat the Chambers Plan

At AEC Benefits, we specialize in creating traditional group benefits solutions that outperform the Chambers Plan for businesses with more than five employees. Here’s how we stack up:

Competitive Pricing

Our plans are priced based on your business’s unique needs and size, ensuring you’re not overpaying for pooled rates designed for much smaller teams.

Flexible Coverage Options

We work with you to customize a benefits package that suits your employees and budget. Whether it’s extended health, dental, or additional perks like wellness programs, you get exactly what your team needs—nothing more, nothing less.

Simplified Administration

Managing group benefits shouldn’t be a headache. Our solutions include streamlined administration tools, direct pay, and user-friendly apps that make life easier for both you and your employees.

Transparent Rates

You’ll never be surprised by unexpected rate hikes due to pooled claims. With us, your premiums are based on your team’s actual usage, offering stability and predictability.

Exceptional Support

Our team is here to help you every step of the way, from onboarding to answering employee questions. We pride ourselves on being a partner you can trust, not just a provider.

Let’s Talk About What Your Business Really Needs

If your business has more than five employees and you’re on the Chambers Plan, it’s time to explore better options. Traditional group benefits solutions offer lower costs, greater flexibility, and enhanced coverage—without the restrictions and limitations of pooled plans.

Ready to upgrade your group benefits? Let’s build a plan tailored to your business and your team. Contact AEC Benefits today and discover the difference!