Is your company’s benefits plan provided by a conventional group insurance carrier? For many small and mid-sized businesses, the plans offered by big insurance providers can be restricting – both in terms of budget and benefits available. You are typically offered a one-size-fits-all type of plan that can’t easily be customized to suit your specific business needs.
For example, if one line of insurance increases significantly at renewal: your advisor can try to negotiate, but if the insurance company won’t budge, your options are limited to accepting the increase or moving the entire plan.
A complete re-enrolment every time this happens wastes time, effort, and money – not to mention, employers and employees alike are forced to figure out how to use their benefits plan all over again. It’s not practical.
Simplify Your Benefits with a Third Party Administrator
A professional Third Party Administrator (TPA) manages group benefit plans on behalf of the employer, including the entire claims process.
A TPA with numerous healthy insurer relationships (like The Benefits Trust!) can design custom benefits plans for small and mid-sized businesses on a level unmatched by larger traditional carriers. They can mix and match insurance products from suppliers, offering two essential benefits:
1. Rate Stability
A TPA allows you to only pay for the claims you actually have and purchase the insurance options you actually want.
With a TPA who works with many insurance providers, if one line of insurance increases significantly at renewal, your advisor can simply choose a new provider for that coverage if a better rate is available.
2. Plan Flexibility
A TPA gives you the flexibility to exclude anything you don’t want or need in your employee benefits plan. You can choose which insurance coverage you want for which groups of employees.
And if you change your mind down the road, you can move specific lines to a new carrier through your TPA with limited disruption to your overall plan.
Custom Benefits Plans for Small and Medium Businesses
With access to multiple insurance carriers through a good TPA, you won’t have to worry about being stuck in a rigid plan structure with potentially large increases at renewal. You will have more control over your benefits… and you won’t be stuck chasing short term savings in the treadmill of re-enrolment.
Contact us today to discover a better, more customizable way to administer and manage your employee benefits plan.
More on TPAs from The Benefits Trust:
- The Promise: The Value of a Third Party Administrator
- Top 15 Questions to Ask Every Third Party Administrator (TPA) Before Making a Commitment
- The Benefits Trust: Your Third Party Administrator for Employee Benefits [Video]
- Mitigating Risk in Your Client’s Benefits Plan Design – Part 1 - September 24, 2020
- Case Study: Freeing Yourself From the Commodity Mindset - August 27, 2020
- Case Study: Reflecting Your Company Culture in Your Benefits Plan - May 21, 2020
- Case Study: Addressing Employee Demands for More Benefit Choices in Family Owned Business - February 21, 2020
- Changes Coming to OHIP in 2020 - November 26, 2019
- Canadian Businesses Turning to Flexible Benefits Plans - October 7, 2019
- Common Benefits Advisor Problems: Adding Value, Part Three - June 6, 2019
- Common Benefits Advisor Problems: Adding Value, Part Two - May 14, 2019
- Dental Fees in Ontario Rising 4.19% This Year: What Can You Do? - March 22, 2019
- How to Combat the Skyrocketing Cost of Dental Claims - October 24, 2018