Membership in The Employers Co-operative(TEC) collective purchasing group insurance program offers a way to benefit from the purchasing power of a very large group.
Traditional benefit solutions just don’t work anymore. “Tendering or quoting” your benefit plan does not provide you with any long term tangible savings. All that it does is buy you a one-year rate discount and usually an ensuing large rate increase the following year. Alternatively using a fragmented benefit plan approach, using a variety of insurance companies for different components, ends up lessening your negotiating power with each company and also creates additional and unnecessary administrative work for your company.
After an extensive consultant search, The Employers Co-operative selected a plan consultant to create and negotiate the TEC plan. Our search concluded with the selection of Benefit Partners. Benefit Partners has vast experience in the field of designing, managing and implementing collective purchasing plans. Its work for other organizations has resulted in long-term tangible and measurable savings for plan participants. The TEC plan is modeled on the basis of another highly successful collective purchasing plan that Benefit Partners consults to and manages. The client retention rate of the other program is 97.5% over 5 years! These results are testament to the power of collective purchasing and the superior service and long-term cost savings associated with it!
There is no magic when it comes to the pricing of a benefit plan. All insurance companies base their rates on a combination of a group’s claims experience and the insurance company’s administration cost. The administration cost is commonly expressed as a Target Loss Ratio (TLR). For stand alone groups, an insurance company bases its expenses on the overall premium level of the short term disability, extended health and dental care benefits of that group. Therefore on a stand alone basis the administration expenses reflect a group’s own purchasing power. The TEC plan has its administrative expenses based on the overall volume of all companies participating in the TEC plan, therefore providing for economies of scale purchasing power of millions of dollars of insurance premium.
Why pay more premium than you have to? Take advantage of being part of a larger group. Use the calculator below to determine how much collective purchasing can save your organization!
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Extented Health Care | |
Dental health Care |
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Reduced administration expenses/rates through the power of collective
purchasing,
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Extended rate guarantees,
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A complete range of plan designs and benefit options,
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Each company maintains complete autonomy over plan design and
claims experience – therefore your premium reflects what your
employees claim and not others,
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Increased influence on the insurance companies, as a result
of millions of dollars of insurance premium, therefore
providing protection against dramatic increases
in rates,
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On-line benefits administration,
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Quarterly claims experience review to help predict future premiums
and to develop a benefit plan strategic plan with,
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Paperless claims processing, and
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Reduced Cost for the same level of benefits/service that you are
currently enjoying!
"Since
we have been a member of the TEC plan, we have maximized the value of
every dollar that we spend on our employee benefits plan, and we have
eliminated spending needless money on plan administration."
HR-manager
"In
addition to the savings that we have been able to realize by joining the
TEC plan, we have also greatly benefited from the proactive, and useful
services that Benefits Partners provides. We are now able to accurately
plan and budget for the future."
VP
Finance
