Health insurance costs are spiraling out of control for many beer wholesalers, with annual increases of 5-10% that seem impossible to escape. 

But what if there was a better way? 

What if you could not only stop these relentless increases but actually reduce costs while improving benefits?

Erin Butler from BevCap Management reveals how beer distributors across the country are doing exactly that through captive health insurance plans.

This isn't just a minor cost adjustment – it's a fundamental reimagining of how wholesalers approach healthcare coverage. 

The numbers speak volumes: traditional fully-funded plans average $1,590 per employee monthly, while BevCap's captive members pay just $861. 

For a 100-employee distribution business, that's annual savings approaching $900,000.

The captive model works particularly well for beer wholesalers because of their homogeneous workforce – predominantly younger males who typically require less healthcare. 

By pooling resources across multiple distributors (currently covering about 15,000 lives), the captive gains extraordinary leverage with providers while creating a protective buffer between individual businesses and catastrophic claims.

Beyond pure cost savings, distributors gain unprecedented transparency and control. 

Members receive detailed claims data that traditional insurers withhold, enabling informed decisions about plan design and cost containment.

 Innovative approaches like direct provider contracting and specialized pharmacy management have yielded remarkable results – pharmacy costs alone have dropped 40% for participating members.

The most successful wholesalers in the program take an active role, educating employees about benefits, implementing preventative health initiatives, and participating in the collaborative governance structure that guides the captive. 

This engagement transforms healthcare from an uncontrollable expense into a strategic advantage that strengthens both the bottom line and employee satisfaction.

Ready to explore whether a captive health insurance plan could benefit your beer distribution business? 

Contact Erin Butler at BevCap Management to receive a personalized analysis of your potential savings and learn how joining forces with other wholesalers could fundamentally change your approach to employee healthcare.

Connect with Erin Butler at BevCap to learn more: [email protected], c: 817-343-4651