FAQs

What advantage is there to using the FABOH Provider Network?

In exchange for FABOH providers accepting reduced reimbursement, FABOH employers have implemented health plan designs that pay higher levels of benefits for using providers in the FABOH Network.

FABOH employers have plan design options that will pay more for medical services rendered within the network.

Tier 1 plan design with 10% coinsurance and a $200 deductible will be used to illustrate the significant savings for both the employee and employer that can be achieved by using FABOH network providers.

The cost of using out-of-network providers is significantly higher because the patient is not given the benefit of reduced fees that FABOH is given by directly contracting with the providers for their services.

Example of FABOH in-network savings calculation

3 Day Hospital Stay

   FABOH Provider Network   

    Out of FABOH Network   

Plan Coinsurance

90/10%

80/20%

Deductible

$200

$200

Hospital Charge

   

3 day inpatient stay

$2,985

$7,034

Employee Payment

   

Deductible

$200

$200

Coinsurance

$278.50

$1,366.80

Total Employee Payments      

$478.50

$1,566.80

Plan Payment

$2,506.50

$5,467.20

Savings per above calculation
Employee $1,088.30 Plan $2,960.70
 

In this real life example, the savings from using a FABOH network provider is substantial. The employee saves money and the employer saves money.