Employee benefit products provider PPI Benefits has purchased a majority stake in Canada-based CustomCare for an undisclosed sum.
Based in Calgary, the CustomCare provides small business health insurance and private health services plans (PHSP).
A PHSP is a pay per use alternative product, which enables businesses to reimburse qualifying medical and dental expenses to employees and business owners.
PPI said medical expenses reimbursed through the PHSP are a tax free benefit to the employee and tax deductible to the business.
CustomCare, which will continue to offer services with the current name, will be operated as a division of PPI Benefits.
PPI chairman Jim Burton said: "CustomCare’s affordable healthcare benefits already meet the needs of over 6,000 small businesses in Canada.
"We see it as an ideal fit with our existing PPI Benefits group to bring this unique offering to even more firms and their employees."
CustomCare’s one of the founders David Udy will serve as a director for the new organization.
Udy said: "I am excited about this partnership with PPI Benefits and see it as an opportunity to significantly build on our successful growth to this point."
PPI Benefits is a subsidiary of PPI, which provides insurance solutions.
PPI offers actuarial, tax and specialized expertise in all aspects of life insurance, as well as design and custom application.
Image: CustomCare offers small business health insurance and private health services plans. Photo: courtesy of Stuart Miles / FreeDigitalPhotos.net.