Medical Insurance Mismanagement
Set it and Forget it Plan Turned into Major Cost Liability
THE CLIENT
Large Retail (portfolio company)
THE SCENARIO
The client was experiencing higher than average turnover which led to higher training and medical insurance costs
DISCOVERY
The high turnover and defragmented corporate structure made it difficult to control costs and create efficiencies in employee engagement and administrative processes.
SOLUTION
Engage employees, improve benefits, and reduce costs. We provided a benchmarking analysis to align the reconfigured company with fewer employees to samesize peers in the industry and region. We conducted a bidding process to identify carriers who could provide competitive pricing and support, and we identified processes that could be outsourced reliably and cost effectively. Additionally, we performed a dependent audit where we found many ineligible dependents driving up claims and costs. Finally, we implemented a wellness system that incorporated financial and health wellness to help all of the employees become more engaged in their employee benefits program.
THE RESULTS
Bryson generated substantial savings that delivered significant benefits to the company. These savings offset the administrative costs of implementing an online system and reduced the medical loss ratio from 120% to 78%, resulting in a zero increase in costs for the second year. Additionally, the savings contributed to lower employee turnover and enabled increased contributions to the retirement plan for key executives, supporting long-term organizational stability and growth.