Specialism
Benefits and corporate health
Health cover is the fastest-rising expense and the least discussed.
The annual increase on a corporate health plan is not tabled: it is calculated from the claims experience of your own book and the age profile of the group. Which means the bill that arrives every year describes the behaviour of your population — and it is negotiable to the exact extent that you know that behaviour better than the insurer presumes.
Whoever arrives at the renegotiation with no data accepts the index presented. Whoever arrives with usage history, an analysis of chronic cases and a prevention programme negotiates a different figure — sometimes with the same insurer, in the same month, without changing plan or reducing cover. Discussing benefits is not touching people: it is ceasing to subsidise inefficiency with money that could improve the benefit itself.
We handle the renegotiation with cost governance and the design of the benefits package to keep it attractive — which is, after all, why the benefit exists. The calculation almost nobody does is the one on the other side: replacing a trained professional costs, between recruitment, learning curve and lost productivity, several months of their salary. Cutting the plan to save a fraction of that is the most expensive way to save — and worse, it is a saving that looks good in the quarter's report and presents the bill in the next, when nobody connects the two any more.
A practice that changes the increase: ask the insurer for the claims report by age band and by type of use. It shows whether the cost comes from chronic cases, from avoidable emergency visits or from a single atypical event. Each cause has a different answer, and none of them is accepting the index because it arrived on headed paper.
The house's price and a share of the saving obtained in the increase, measured against the index that would have applied without the negotiation. Any brokerage paid by the insurer is declared and deducted from the price — for the same reason as in insurance: whoever is paid by premium tends to defend the larger premium, and that incentive cannot exist on our side of the table.
Official sources, at the exact point — the article of law, the service or the search you can use today. None replaces analysis of the specific case, which is our work.
Say in two lines what you need to resolve. An account manager replies personally, in business hours, and the conversation starts where it makes a difference.
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