It’s important to identify the unknown factors that increase the cost of a BC employee benefits plan, so you can properly educate your employees on how to effectively use the plan. Excessive claims can result in an increase in your premium when it comes time to renew your plan. We wanted to identify a few factors that are driving the cost of a group benefits plan in BC.
Simply put, the less money you cost the insurance company, the less money they will charge you in premiums. Here are some factors that increase the cost of a BC employee benefits plan:
Pharmacy Dispensing Fees
Most pharmacies only charge a few dollars as a dispensing fee, but some can be as high as $15 per medication. Which can really add up, especially if some employees have chronic illnesses that require monthly prescriptions. Educating employees about which pharmacies offer the best discounts can make a difference when it comes time to renew.
High Drug Costs
Medication costs can also fluctuate between pharmacies and the cities in your region. There is a great tool for BC residences called the Pharmacy Compass, this website allows you to compare the prices of various medications across all the pharmacies in their region. Encourage your employees to use tools like this and buy drugs more efficiently.
General Health & Wellness
In an age where there is a pill for every ailment (and pills that will give you ailments), employers should promote health and wellness programs in the workplace in order to better the overall health of your workforce. With the average age of the workforce in most industries increasing, this is more important now than ever before. The healthier an employee is the less of a burden they will be on your group benefits plan.
Technology today allows us to track the usage of employee benefits and reduce the administration costs associated with group benefits plans. We encourage you to automate your administration to reduce submission errors and improve your overall claims submission process.
To learn more about the factors that increase the cost of employee benefits plans in BC, we encourage you to contact DENT Benefits to streamline your group benefits and start saving money!
The information in this material is derived from various sources. Material is provided for general information and is subject to change without notice. Every effort has been made to compile this material from reliable sources; however, no warranty can be made as to its accuracy or completeness. Before acting on any of the above, please contact us for benefit, pension and insurance advice based on your corporate or personal circumstances.