Finance Monthly - March 2022

40 Finance Monthly. Bank i ng & F i nanc i a l Se r v i ce s leader offering the best-in-class service to our clients given a global pandemic. From a revenue standpoint, we had the most profitable year in the company’s 20 history during the pandemic. We distribute our product through insurance brokers who we helped win over $100 million in new client revenue in 2020 by offering our solution. Our seasoned sales team actively pursued new prospects and adapted to selling virtually. Our Leadership Team vetted the best technology platforms to give our new business and retention team the tools they needed to succeed. When looking at our accomplishments throughout the pandemic, from a new business sales perspective we evaluated our wins as well as our losses. We noticed that our prospects fell on two opposite ends of the spectrum: those needing our strategy to reduce healthcare costs, and those who were resistant to change. For those companies whose bottom line was hurting, it was attractive to them that our clients were saving 18% on average off their healthcare spend without reducing plan benefits. Traditionally when companies think of “savings” with their insurance plans they mitigate costs through changing insurance carriers, revamping plan designs, or increasing employee contributions. Our solution allowed them to keep their doors open when their businesses were struggling financially. For those companies who did not want to make any sudden changes, they continued to absorb double-digit increases to their medical insurance. Many decided to place decisions on hold until the pandemic was over. Initially, I was disappointed we did not win the business on the first attempt, but I am confident these prospects will re-evaluate options as the world returns to a new sense of normalcy. The health insurance industry has certainly had its ebbs and flows during the pandemic as well. According to a recent Kaiser Family Foundation Study, the cost of US health insurance premiums has almost doubled in the past decade. By comparison, wages have only increased by 27% over the last 10 years. Health insurance premiums have increased 55%, with the cost of a family’s health plan estimated at $21,342 in premium. The high costs of healthcare are preventing Americans from accessing necessary services. Insurance companies realised a reduction in claims as members were postponing elective surgeries and doctor’s appointments. As care continues to be deferred, this leads to more advanced and complex illnesses, which could have been detected earlier with routine preventative care. This will lead to a domino effect where insurers will increase healthcare premiums as claims continue to rise and affect their profitability. How have you navigated this? Now more than ever companies are evaluating their benefits packages given the “Great Resignation”. A robust benefits package can be another tool to attract and retain employees, and is one of the first impressions to an interviewee. We give our clients the ability to offer enhanced benefits

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