(303) 369-3200

Friday, 11 October 2019 09:20

Benefits Benchmarking: Do You Know How Your Benefits Stack up to Your Competitor’s?

Written by
Rate this item
(1 Vote)

Evaluating your current benefit plans with the intent to attract and retain top talent is more crucial than ever. Benefits benchmarking gives employers the chance to compare their current plans and contribution strategy to that of the competitors. Fall River helps our clients understand how they stack up, and we will soon be sharing a new benchmarking document. When was the last time you measured your benefits package against other Colorado employers?

The regional benchmarking study we use, completed annually by Employer’s Council, covers many areas of benefit plans. If you are a member of Employer’s Council, you can get the full report from them: “Employers Council, 2019 Health, Welfare and Retirement Plans Survey.” Of course, the full report is 207 pages, which is why we recommend reviewing a high-level summary with us instead in just twenty minutes!

A few highlights from the Fall River Executive Summary are below.

  • The study included 199 organizations in the Denver/Boulder area

  • 82% of surveyed employers had less than 500 employees

  • PPOs are still the most commonly chosen plans for employees, with High Deductible Health Plans (HDHPs) coming in second

  • The median premium increase for the past year was 7%

  • The average employee contribution in 2018 was  up 11% from 2015

  • 55% of surveyed employers are now self-funded

  • 58% of organizations offer some sort of a wellness program

The challenges facing employers who offer benefits today are very complex and ever-changing. Employers are continually making difficult decisions as they address the implications of health care reform and rising costs. Additionally, the workforce is becoming progressively diverse. Employers must address multiple needs of their employees from millennials to baby boomers, as well as employees with cultural, physical, or language barriers.

As you compete for top talent, being aware of what is going on in the marketplace is more vital than ever. Here are a few questions you should be asking yourself: 

  • What percent of premium cost are other employers contributing?

  • Are employers passing on renewal increases to their employees, or absorbing them?

  • What types of plans are other employers offering? 

  • Is the length of time we make new employees wait to get benefits competitive with other employers?

  • What are the key products and coverages employers are using to round out their benefit packages?

With the increasing demand for great employees, being aware of what your competition is offering will help you retain and attract top-notch talent. If your broker is not talking about how your benefits stack up, now is the time to take a second look. We are happy to provide a second set of eyes on your benefits so you know where you stand.

Contact us today for a complimentary benchmarking of your benefits plan.

Read 1036 times Last modified on Monday, 14 September 2020 10:34