48% of companies will be considering new initiatives to engage, retain and reward staff in the next 12 months, according to research carried out by Jelf Employee Benefits. Jelf says this is particularly encouraging, given the current climate. The healthcare market may have been flat for a number of years but companies have an appetite for new ideas.
Ronjit Bose, commercial director for Jelf Employee Benefits says: ‘To us this shows that as an industry we need to keep being creative. Employers are actively seeking new ways to engage their staff, and options that may once have been the domain of much larger employers, such as flex, are now likely to be embraced by smaller employers. Companies are looking to us to be creative, and we have an obligation to deliver.’
However, in the same survey, the majority (54%) of companies feel there isn’t enough choice in terms of competition from insurers and hospitals. Jelf believes that the lack of choice is bad for the whole industry: greater competition benefits the client when suppliers have to work harder to offer better service.
Ronjit Bose continues: ‘As an intermediary we have the privilege of being close to the client, and we see it as our job to let the market know where they can improve, and what clients are looking for is better choice, service and transparency from insurers and hospitals.’
The majority of companies state that price is their principle driver when reviewing their healthcare policies, but Jelf warns this can be a red herring. The intermediary that just sells on price will not have a long relationship with their client. Although price is important, the most important factor in a healthcare policy is that it works for the client. Appropriateness of cover, good service and efficient claims management are all areas that need to work.
Ronjit Bose adds: ‘“Consultancy not broking” is the important differentiator between intermediaries. Those that just see their clients once a year and sell on price are in a race to the bottom. Employers deserve better, and ongoing support is vital for a healthcare policy to add value. PMI can be a real differentiator for companies looking to engage with their staff, and intermediaries that consult – rather than broke – are the only ones in a position to help their clients get value out of their healthcare.’
