With health costs continuing to rise, many employers are tightening their budget—and that often means forgoing ancillary benefit offerings. However, offering more comprehensive benefits package can save employers dollars in other areas.
In this blog, we’ll look at the importance of offering ancillary benefits as an employer, and how brokers can integrate ancillary into their strategic benefit conversations.
Why focus on ancillary benefits?
Providing ancillary benefits offers several important advantages to employers:
- Keep employees happy and engaged to avoid turnover
- Attract the best talent with a competitive benefits package
- Reduce health care costs overall by offering more benefits (for example, some health problems are linked to dental and vision health)
- Employees are more productive and effective when they aren’t worrying about finances (such as the impact of a spouse’s disability or a child’s expensive orthodontic needs)
How to integrate ancillary benefits into your offering
Many employee benefit brokers think of ancillary benefits as more of an afterthought—even more employers have this mindset. To successfully sell ancillary benefits, it’s important to integrate those offerings into a larger, strategic benefits plan. Here are some recommendations:
- Do your homework. For an existing client, do they already provide volunteer benefits through another broker? For prospects, do they offer ancillary currently, and what specifically to they offer?
- Share meaningful insights. Cost uncertainty (and rising health care costs generally) prevent some employers from offering any voluntary benefits. Show them how doing so can benefit their business and keep clients happy, with insights such as the ones in this infographic.
- Make it part of a larger conversation. Renewal and prospecting meetings often focus on major medical (and possibly Rx), with ancillary benefits discussed after other plans are chosen. Flip that script and make ancillary part of a larger strategic conversation about the employer’s benefits package. Doing this makes ancillary part of the budget discussion and benefits strategy from the beginning, helping employers make smarter choices on their overall benefits package.
- Integrate seamlessly into your presentation. Many brokers have technology tools to explore medical and prescription drug plans, but lack the same options for ancillary. Either they present ancillary using a different solution, or even worse, on unattractive, tough to decipher spreadsheets. Find a presentation tool or solution that allows you to present a total package, so ancillary is a seamless part of your proposal.
Want more insights into today’s ancillary benefits market, including the employer-employee disconnect? Check out this infographic (and potentially share with clients and prospects as well).