Benefits renewals can be grueling and agonizing affairs, but they don’t have to be. If you follow these 4 easy steps, then you could be on your way to a much brighter future as you plan for your next renewal cycle.
1. Conduct due diligence on how your plan is constructed
It is easy to fall into a pattern of renewing “as is” without a thorough examination of the current market and its trends and possible savings. Even if your percentage increase was not bad, ask yourself two questions: How do my rates and benefits compare with the rest of the market and could I design a better plan to reduce my overall medical spend? As rates continue to rise, talk with your broker about new ideas and draft a vision for strategic positioning of benefits; don’t settle for status quo.
2. Consider level-funding
The marketplace is always changing and some new plans and products are allowing small companies the opportunity to participate in the self-funding process without extra risk of exposure. Forgot what you may have been told years ago about level-funding and ask your broker if this plan makes sense for you and your small business.
3. If your company is self-funded, have an outside company conduct a self-funding audit
A thorough audit can uncover new savings opportunities that could save your company thousands of dollars each month. With fierce competition amongst Third-Party Administrators, Pharmacy Benefits Managers, and Provider Networks, you want to make sure your company is taking advantage of the best discounts across the board.
4. Be sure your broker is a true ally
A good benefits broker does more than just deliver renewals and collect commissions. There are many brokers who offer a suite of assistance such as HR Help Desk, HR and Compliance software programs and 1094/1095 Administration, among other helpful services. Use your broker relationship to ease your burden of managing benefits.
Founded in 1970, Allied National is one of the nation's oldest and most experienced third-party administrators. We're the small group benefit experts working to provide unique and affordable group health benefits to small business employers.
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Founded in 1970, Allied National is one of the nation's oldest and most experienced third-party administrators. As of June 2020, Allied National is a division of 90 Degree Benefits, a Blue Cross Blue Shield of Alabama company. We're the small group benefit experts working to provide unique and affordable group health benefits to small business employers.