OBJECTIVES FOR BUILDING A GROUP BENEFITS PLAN
Deciding to put a group benefits plan in place or revising your current plan should be accompanied by objectives you’d like to accomplish. The most popular reasons for putting a plan in place include; employee retention, attracting high performers and rewarding current employees. The most popular reasons for plan revision is a combination of lowering costs and updating plan design.
Objectives for building a group benefits plan can be derived from areas of the business you may wish to improve, such as:
- Does your business have high turnover?
- Are interviewees asking if you offer employee benefits?
- Do current employees inquire about establishing or revising your group benefits plan?
Group benefit plans offer solutions to the above questions by:
- Reducing turnover and time spent on-boarding/training new employees.
- Allowing you to offer prospective employees a competitive group benefits plan for the industry you operate in.
- Increasing morale and providing further incentives to your current workforce.
COST AND USAGE CONSIDERATIONS
Understanding how the group benefits renewal process works, and how plan designs will impact costs are critical to the affordability of a plan. Northern Financial Group can help you design a plan that meets your objectives while remaining cost-effective. The Olympic Benefits Plan is exclusively offered through Northern Financial Group. The Olympic Plan offers; set rates, no medicals and pools your business with thousands of other members. The Olympic plan is a testament to Northern Financial Group’s commitment to finding a plan that works for your business now and in the future.
Group health insurance is just that; it’s insurance. Your costs are based on the claims you make – similar to house insurance or car insurance. Clearly defining objectives for your employee benefits plan is important but costs and usage need to be considered as well. Designing a plan that allows for high claims will result in higher renewals and the plan’s cost becoming prohibitive.
Our next article will take a closer look at the balancing act between costs and plan design.
