Employers advised to act as health insurance premiums rise
Employers are being advised to look closely at their health insurance in the face of increasing premiums.
Head of health insurance at Cornmarket, Ireland’s largest health insurance broker, Dermot Wells, said several simple steps can be taken to try to keep costs down.
“Average health insurance premiums have risen by over 12% in the past 12 months alone, resulting in a challenging landscape for company-paid health insurance schemes and individuals alike," said Wells.
“Amid escalating costs, it is essential that businesses take proactive measures to mitigate the impact of price hikes and outdated benefit structures. Our advice to employers is to conduct a thorough review of company healthcare benefits well in advance of policy renewal.
"Consider the specific needs of your organisation, compare options, and evaluate plans annually to ensure they meet the evolving requirements of your staff.”
Key Ways to Save on Company Health Insurance:
1. An Annual Review
Avoid overpaying by remaining on the same plan for too long. Businesses with the same health cover for three years or more may be paying above average for outdated plans, missing potential savings, and subjecting employees to unnecessary benefit-in-kind charges.
2. Explore New Options
Many employers adhere to outdated corporate plans, unaware that newer alternatives could offer equivalent coverage at a lower cost. New plans often come with enhanced benefits for all members.
3. Maximise Benefits
Review your group scheme to ensure maximum corporate discounts, underwriting waivers, and access to digital services and wellness programs. This approach can support employers to maximise benefits without incurring additional costs.
4. Enhance Employee Engagement
Implement low-cost engagement programs to educate employees on their benefits, minimising unnecessary shortfalls and ensuring they fully utilise their coverage. This includes ensuring your employees are aware they may be able to claim TRS relief.
“The good news is that rising costs are pushing insurers to innovate around value and product simplification.
Head of health insurance at Cornmarket Dermot Wells
"For employers who use health cover and prevention programmes as a means of attracting and retaining talent, it is still possible to balance costs through a proactive and strategic approach,” he added.
"Expert advice can simplify the process for business owners and human resources teams by tailoring insurance plans to fit an organisation’s particular needs."
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