Have you ever wondered how to maximize your benefits plan ROI?
Group benefits plans are complicated and expensive. For most organizations, employee expenses are the first or second most expensive item on the P&L. And benefits are the second largest expense after salaries.
With that much money on the line, it is important that an employer’s spending is optimized. What is optimal? That depends on the organization.
Simply put, benefits plans should strategically support your bottom-line objectives while also driving the maximum value for the organization and its employees.
Have you ever stopped to ask if your plan was doing everything it could for your organization? The best way to find out is through a peer review of your benefits.
What is a peer review?
At the core, any peer review is an opportunity for subject matter experts to assess your existing benefits plan and identify potential opportunities to save money and drive value.
Peer reviews DO:
- Require you to provide access to your existing plan data.
- Look for areas of improvement.
- Identify innovative strategies your current broker missed or lacks the necessary capabilities to implement.
- Provide peace of mind for you and your members that your plan is performing.
Peer reviews DO NOT:
- Require you to notify your current broker and can be executed without impacting current relationships.
- Require a considerable time commitment on your end.
- Mean you are committing to a change of consultant.
- Come with any fees or obligations.
How does it work?
When you request a peer review, subject matter experts take a deep dive into your existing benefit design, as well as your financial, medical and pharmacy claims data.
This helps to identify the components of your plan that are performing well. It will also allow them to discover potential opportunities for substantial cost reductions, program quality improvements and ways to improve your risk profile.
How much could I really save?
In the benefits industry today, plan costs seem out of control. Every year renewals come in higher than before. But if your benefits partner has the right capabilities and solutions, that status quo can be flipped.
One company got curious about their broker’s capabilities and level of innovation. Their peer review discovered the opportunity to save nearly $1 million annually. Many companies that engage in peer review are surprised at just how much more you could save, and how much more you could do for your employees.
If you ever find yourself wondering how your benefits plan is performing, a peer review is your best course of action. It can help identify strategies that leverage your finite budget to deliver the best benefits program at maximum ROI.