Employee Benefits Cost-Containment Strategy | CBIZ

Cost-Containment Strategy | CBIZ Employee Benefits

As the cost of employee benefits continues to rise each year, organizations like yours are tasked with the challenge of choosing a benefits plan that will be attractive to new and existing employees without negatively impacting your bottom line.

At CBIZ, our experts offer the cost-containment expertise needed to identify opportunities for savings and help you formulate a benefits strategy that strikes the balance of cost and quality.

A Strategic Approach to Benefits Cost Containment

To get started, we’ll evaluate your organization’s prospective and retrospective data trends to gain a thorough understanding of how your organization is currently positioned to build value-oriented, cost-effective benefits plans.

Based on your organization’s unique goals and objectives, we’ll then look at cost and plan designs, employee demographics and the plans of similar-sized employers. Using this information, our experts will analyze your current plans against the marketplace and look at some of the key issues driving plan costs to help you understand how your organization can achieve the best value for your health plan spend. 

There are a variety of solutions we can explore, such as:

Promoting health care consumerism

When employees have the knowledge and resources necessary to be strong health care consumers, they are more likely to make smart benefits decisions that benefit themselves — and your organization — financially. Investing resources into promoting health care consumerism is a unique way to cut benefits costs. 

Optimizing employee communications

Employee communication is intrinsically linked to a positive employee experience, which has a domino effect on recruitment efforts, retention rates and more — all of which can impact your bottom line. At the end of the day, a strong communication strategy is a business imperative, and optimizing your approach can result in significant cost savings. 

Developing an employee wellbeing program

Research clearly illustrates a strong link between employee wellbeing and lowered health care costs. As such, we help employers take a strategic approach to employee wellbeing — and it often results in a return on their investment. Conversely, poor workplace wellbeing comes at a price.  

Changing funding structures

To combat out-of-control benefits costs, more and more employers are turning to alternative funding mechanisms, such as: 

  • Self-Insurance: In a self-insurance arrangement, the employer funds the health plan entirely. This gives them greater control over plan design and the opportunity to make cost-effective choices, like establishing stop-loss limits. 
  • Level Funding: Level funding is a hybrid option that combines the benefits of being fully insured and self-insured. Like a fully insured plan, it provides cash-flow certainty. However, level funding also includes stop-loss insurance to help protect employers against the impacts of large claims. 

Investigating new health plan options

We understand that the health care landscape is constantly changing, and new solutions are constantly hitting the market. That’s why we think outside the box to connect your organization with innovative, more cost-effective health plan options that other brokers may overlook.  

These are just a few examples of strategies we can help your organization implement to contain costs without sacrificing the quality of your benefits offerings.

Why Choose CBIZ Employee Benefits for Cost-Containment Solutions?

As we analyze your current plan and seek cost-cutting solutions, we’ll collaborate with both our in-house teams, including our pharmacy, human resources and actuarial experts, as well as local consultants. In addition, we’ll consider external factors that may be driving your expenses, like the ever-increasing cost of prescription drugs. At the Annual Performance Review, we’ll review these findings and provide recommendations based on your goals and objectives for the upcoming year.

With CBIZ on your side, you’ll receive actionable solutions backed by expert advice. Let us help you strike the balance between quality and cost-effectiveness in your benefits offerings.