Issue
A well-established private equity firm’s healthcare platform was experiencing rapid inorganic growth as a result of seven add-on acquisitions, leaving them with 13 health insurance plans and 25 ancillary plans. Recognizing the inefficiencies associated with maintaining nearly 40 plans, the firm worked with CBIZ to consolidate, reduce costs, and enhance overall plan performance.
Solution
- Our team utilized a national program analysis to identify opportunities for health plan improvements and determine how best to serve each of the portfolio companies equally.
- This analysis enabled us to consolidate the firm’s 13 health plans down to 4 and the 25 ancillary plans down to 5.
- Our national program analysis also identified an opportunity to increase efficiency through the implementation of a company-wide HRIS system.
Outcome
- As a result of the plan consolidation, the client has secured more than $500k in annual premium savings.
- The company-wide HRIS system significantly enhanced the efficiency of the firm’s health plans, creating a streamlined experience for both the portfolio companies and their plan members.
- All employee contribution rates were either maintained or reduced while their existing benefits were either maintained or improved.
| Company Information | |
|---|---|
| Industry | Private Equity |
| Geographic Footprint | California, Kentucky, Minnesota, New Jersey & North Carolina |
| Number of Employees | 500 |
| Ownership Structure | Sponsor-Backed |
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