Strategies to Increase Affordability of Your Employee Benefits Plan

While this may seem obvious to many, the issue of affording health and welfare insurance is on the rise again. Despite a strong economy in many parts of the world, many employees are having a harder time affording their benefits than they were five years ago. This stems from the additional cost-shifting that has occurred. This shifting includes from social programs to private insurance and/or from employers putting more financial responsibility onto the employees. Deductible and out-of-pocket levels continue to rise, which exposes employees to additional first-dollar risk. This can have unintended consequences such as delayed medical treatments, increased stress levels, negative cost impacts to other group benefit plans and reduced workforce productivity.

The following are a number of potential strategies your firm can implement to help address the concern of affordability in your employee benefits program.

While the cost of providing top-rated employee benefit programs can be a concern for organizations in all industries, it could be more costly not to. Especially in industries like manufacturing, where there are concerns over stagnant wages— a comprehensive employee benefits package can help to attract talent, prevent turnover, keep employees healthy and overall medical claims down.

Contact a trusted RCM&D advisor to discuss additional strategies to promote increased affordability of your employee benefits plan.