Employers choose to do business with the Franklin Health consortium because they describe being frustrated with their employee benefits program. They describe the same renewal process every year, but they say it hasn’t impacted their health insurance costs.
The Impact of Rising Rates on Employers & Employees
Every year, rates continue to go up, and on average, they’ve increased almost 400% in the last 20 years. Employers describe the process of shopping for health plans to try to achieve lower rates with their incumbent carrier. Some years that works great, and other years, employers have no choice but to cause a shift for their employees. They’re forced to increase their employees’ contributions to the health plan as well as increase deductibles, co-pays, coinsurance, and maybe even introduce a “skinny” network. The impact of that is fairly clear: employee share of premium contributions has grown over the last several years, and deductibles have gone through the roof.
Rates Aren’t Just Rates
The question we get asked is, “is there any alternative?” Yes. The Franklin Health consortium focuses on mitigating your claims expense to control and maintain overall costs. Your claims account for the largest percentage of your overall health insurance premium. Now, you may have heard that “the rates are the rates,” but the dirty secret in our industry is that healthcare is something that can be controlled.
Core Components for Controlling Costs
Through the Franklin Health platform, we’ve pioneered a new way to approach an integrated health plan with advanced initiatives for cost-savings built into the plan. With an innovative approach, we provide solutions to protect employers and their employees from high renewal increases, catastrophic claims errors, high-cost prescriptions, and more. We implement programs that mitigate and control costs with ongoing initiatives to monitor and reduce claims spend such as:
- Member Advocacy & Support
- Independent TPAs
- Custom Rx Programs
- Group Purchasing Stop-Loss
- Active Claims Monitoring
To learn more about how we can control your healthcare spend, and how we deliver results like a 47% claims reduction for one of our healthcare consortiums in Virginia, please contact a Crumdale Partners consultant to get started today!