The group experiencing the declines consisted of approximately 6,800 employees in a very volatile industry. The Voluntary Benefits package was supposed to be working towards employee retention objectives but with such a large number of applicants declined, it seemed to be negating the purpose.
Our goal was to offer improved benefits, at affordable pricing, with less underwriting criteria in order to ensure that the employees would see value in the Voluntary Benefits program and be able to obtain the coverage they needed.
We conducted a detailed analysis of the in force Cancer, Critical Illness, Short Term Disability and Accident insurance plans. Afterward, we evaluated the current carrier’s plan flexibility, underwriting requirements, decline rates, and processes as compared to their top three competitors.
Throughout this process we established that plan customization, benefits payouts at time of service, underwriting requirements, and employee premiums could be improved. With our client we identified the carrier that was a best fit for their needs, as they accommodated clients with more liberal product filings and underwriting.
By transitioning these programs to the new carrier, participation increased by 39% in year one and post implementation surveys indicated a high satisfaction from the workforce with all suggested changes. By year 5 this case maintains steady participation of around 40% in all plans and employee feedback continues to be very positive.