Another Maximum Benefit Success Story

The Company

A new technology and production start-up with over 3 years of continued employee growth - currently at 60+ employees and growing.

The Renewal

The program was with an insurer for two years. At renewal, the employer was given 30 days notice of upcoming rate changes to their employee benefit program. Life and disability rates increased 5% and 10% respectively, with the reason being changes in demographics. Dental rates were increasing 21% based on an 85% claims to premium ratio, while health rates were increasing 87% based on a 118% claims to premium ratio.

The Maximum Benefit Advantage

Maximum benefit provided the employer with proposals from insurers for the Life and Disability benefits, and suggested Dental and Health benefits be self-funded. Stop Loss and Travel Health coverage were added to protect the company from catastrophic claims risk.

The employer was able to choose an insurer that improved the Disability benefit and was able to provide the insured benefits at rates similar to the pre-renewal rates. Suggested funding levels for the Health benefits were reduced, and suggested funding levels for Dental remained at pre-renewal amounts.

6 Month Review

The employer received monthly utilization reports allowing him to track his group’s claiming trend. Actual paid claims for health were 51% of suggested funding levels and dental at 92%.

12 Month Review

The organization is extremely satisfied. Self-funding has reduced overhead costs and Maximum Benefit’s administrative services have surpassed the employer’s expectations. Funding levels have been adjusted downward, and the employer now has the flexibility to increase his Stop Loss coverage to a higher level (reducing Stop Loss premium), and amend his health plan to include benefits they did not think they could afford.