Do you know if you are overpaying for your company sponsored Health, Dental, Life & Disability plans?
One question we frequently hear from potential clients is – “Is there is any way to tell if our sponsored group benefit plan rates are set correctly by the insurance companies?” The answer is “yes”. And, there’s also a way to find out how much profit your insurance company yields from your company premiums.
At HR Knowledge, we consistently reduce premiums of group benefit plans through our proprietary algorithm which can accurately determine the profitability of your group plans with the carriers.
Here are a couple of examples of companies we have helped:
A major health insurance company assessed that for the $3 million that Company A received in premiums, the insurance company had paid out $3.3 million in claims and associated expenses. The health insurer was requiring an annual
premium increase of $385,000. After running the plan financial data through our proprietary algorithm, we were able to leverage the results to secure a reduction off Company A’s renewal of $400,000, which actually resulted in a rate reduction for the client.
A major health insurance company received $1.9 million in premium and paid $2.275 million in claims, a loss of $375,000. They were requiring an increase from Company B of $271,000. After running the group’s plan data through our proprietary algorithm, we discovered that the losses were not as high as the insurance company had represented. The renewal increase was subsequently reduced to $100,000.
How we can help your company?
• We can review your benefit costs, provide a detailed analysis utilizing the proprietary algorithm to accurately determine the profitability of your group plans with the carriers. Then we’ll determine more equitable pricing of these benefits.
• This analysis helps HR Knowledge negotiate your benefit group plan rates with compelling indisputable data, that the carrier underwriters clearly understand and adopt to ensure more AFFORDABLE pricing on your benefits
We impact 80% of the companies we analyze, yielding substantial savings on benefit plans. To receive a no obligation quote or “second opinion” on your group benefit plans, contact HR Knowledge at 508-339-1300.