Top 14 Trigger Events that Prompt Employers to Change Voluntary Benefit Carriers?
Michael N.
![Michael N.]()
Michael N.
Lead Consultant, West, Middle Market, Consumer Benefits at Aon??Voluntary Benefits Architect ??Education, Engagement & Enrollment Strategist
Reviewing "takeover" and "rollover" business yields interesting insights about Trigger Events, why an employer has made the decision to move forward with replacing a current Voluntary Benefit carrier. Are these the top 14 reasons change was implemented?
- Rate action with medical/dental/vision plans, seek bundled discounts if they offer Voluntary Benefits to minimize rate increases
- New HR Director onboarded, they prefer a carrier from previous role
- Broker Of Record change is implemented, new broker conducts inforce analysis and recommends shift
- Complex and unresolved billing, claim, technology or administrative issue(s) with current carrier
- Fiduciary review. HR asks for lower cost Group products to replace outdated/more expensive Individual product lines and review of 5500 data prompts inquiry about payments.
- Seeks to expel “overly enthusiastic” independent carrier agent(s) due to complaints from employees about over selling
- Employer feels neglected due to agent turnover
- Client expands (becomes multi-state employer), current Individual products offered are unavailable in new states or cumbersome to administer. (Group products are based on the situs state of the employer)
- Seeking streamlined administration to reduce the number of bills received from multiple carriers
- Implementing new HRIS/software, current carrier is unable to interface effectively or timely
- Owner/employee has medical event with significant Out-Of-Pocket expenses, current Supplemental Health carrier has exclusion/limitation and doesn’t pay the claim or offer a product line that could cover similar future events
- Different carrier markets new best in class product line/value ad service/offers new enhancements
- Current carrier exits market/sells block of business
- Independent agent calls on employer directly, builds relationship and wedges out broker/current agent from different carrier
What additional trigger events are you seeing in the market?
Michael Naumann, Regional Practice Leader, Guardian Life
C: (503) 926-1881
Customer-Centric Leader Driven by Innovation and Strategic Insights
5 年Great list. Often times it’s just not doing basics like customer service follow ups 2-3 times a year and keeping your promises. Fundamentals and foundation in business practices must be in place before all the other technology, cutting edge products or marketing slicks are added.
Managing Director | Ancillary Benefit Strategist | Enrollment Solutions | Benefit Administration Platform Solutions | Healthcare Solutions | Consolidated Billing | Medical Expense Reimbursement Plans
5 年Need new heaped comp with a new carrier to fund an enrollment tech and possibly call center/face to face. That is probably number 1 reason Number 2 is ease of integrating with certain ben tech platforms.
CEO
5 年Michael - Great article - Advice2Pay eliminates numbers 4, 9 and 10 and more....Welcome discussion when your schedule allows.?
Executive Partner | Director of Operations | Employee Benefits Designer | Coffee Aficionado
5 年Thanks Michael. Very well written and great points.
PSPL PUBLIC SECTOR PRACTICE LEADER
5 年Spot on sir