FAQs

What is ExecSelect?
ExecSelect is a fully insured, supplemental health and wellness plan.

How does ExecSelect work?
An employer can provide ExecSelect to all, or a select class of employees. The plan will cover eligible out-of-pocket healthcare expenses for the selected employees and their dependents. The program affords the employer complete transparency on both premium cost and utilization. 

Why should a company offer ExecSelect to its key employees instead of an FSA (Flexible Spending Account) , HRA (Health Savings Account), 105 Plan, and other company-funded health accounts?
ExecSelect provides real health insurance coverage, benefits and value. It provides coverage for deductibles, co-pays, co-insurance and a broad range of other out-of-pocket medical expenses that are limited or not covered by the company’s underlying healthcare plans while providing superior tax advantages and savings to employers and employees. And unlike company-funded or self-insured health plans, our plan can be offered to select employees at the employer’s discretion versus all employees. See a list of eligible medical expenses, click here.

Does the employer’s underlying plan have to be employer based?
No. The underlying health plan can be an employer group plan, individual policy, spousal policy or Medicare. Also, all insured employees and dependents must be covered by an eligible underlying health plan during the entire period the Sankaty Lights Benefits coverage is in effect.

What are Sankaty’s eligibility requirements of the employer’s base healthcare plan?
Full-time employees who are regularly scheduled to work 25 or more hours per week who are approved and covered under the employer's Base Health Plan. 

Who is covered under this policy?
The policy covers the key employee selected by the employer, his/her spouse or domestic partner and children up to age 27. Benefits may also be extended to retirees, members of the board of directors and surviving spouses as the employer may designate.

Is there a limitation on pre-existing conditions?
No. There are no limitations on pre-existing conditions for the covered employee and children up to the age of 27. 

Is there a waiting period for an employer to be approved for plan participation?
No. If an employer’s underlying health care plan meets our eligibility requirements, the designated employee or participant is promptly approved for plan participation.

Are elective procedures like infertility treatments or a dental implant covered? 
Yes. If an expense is medically necessary and qualifies under Section 213 (d) of the IRS code, it is eligible for reimbursement.  

Must the underlying Base Plan include vision, dental and hearing for ExecSelect to cover the charges? 
No. If vision, dental, and hearing are not covered by the underlying plan, ExecSelect will reimburse the charges.

Can I use an HSA (Health Savings Account) with the Sankaty Plan?
No. If the company offers an HSA with a HDHP (High Deductible Health Plan), its employees selected for ExecSelect, coverage cannot participate in the company's HSA.

Does ExecSelect provide a taxable benefit for the executives being covered?
Generally speaking, the group premiums paid are considered a deductible expense to the employer and the claims incurred for and paid for eligible medical expense are exempt from income tax.  

* Please note, Sankaty Light Benefits, Inc. does not provide tax, legal or accounting advice. The material in this website is set forth solely for informational purposes, and is not intended to provide, and must not be relied on for, tax, legal or accounting advice. Readers must consult their own tax, legal and accounting advisors for advice on their specific situation.