Using Data to Improve Benefits and Lower Costs
Who we worked with
A Columbus-based SAAS developer with a mix of young single and middle-aged employees covering spouses and children.
Where they started
As a newer company, this group had initially taken advantage of the small group open enrollment rules to establish a plan for their employees. The company decided on a generous employer contribution but compromised on the overall cost by selecting a higher deductible plan to fit their budget. The Employees were satisfied with the plan but did express dissatisfaction about the high deductible and out-of-pocket costs.
What we did
With the client, we decided to explore other plans, such as alternate funding and MEWA (multiple employer welfare arrangement) options to see if there was a better fit for the company and employees. To review alternatives, it was important to get medical history on the group, so we pursued a self-reported medical history option.
The underwriting process, done online, allowed the employees to enter the information only once and we were able to map the information to multiple carriers. Underwriting was able to complete a review of the employer’s risk and offer a firm rate to evaluate at renewal.
How we helped
The group selected a MEWA plan available through a local chamber of commerce.
It allowed the employees to have their deductible reduced by $1,500 and their out-of-pocket expenses reduced by $1,850.
Additionally, the new plan allowed the employer to reduce their premium payments by $52,000 annually.