Nick Tranguch, Chief Growth Officer
In today’s rapidly evolving healthcare landscape, employers are under increasing pressure to control rising benefit costs while still providing competitive and comprehensive coverage to their workforce. The good news? There are more options than ever for employers looking to take back control, especially when it comes to carrier claim cost improvement, pharmacy contract optimization, funding strategies, and the transition from fully insured to level-funded models.
At BSI, we recently helped a new client achieve dramatic savings by reevaluating their benefits strategy. Here’s a closer look at what was possible:
From 24% Renewal to 0%
This client originally came to us with a fully insured plan through one of the top five insurance carriers and was facing a steep 24% renewal increase. Using our proprietary BSI CORE model, we were able to drive that renewal increase down to 0%, a complete reversal that saved the client significantly before they even transitioned funding models.
$1.5M in First-Year Savings with BSI CORE Consortium
Taking it a step further, we helped the client move from fully insured to a level-funded arrangement through our BSI CORE consortium. The result? A projected $1.5 million in first-year savings at maximum liability, giving the employer more predictability, transparency, and potential return of unused claims funding.
Anticipated $1.8M Reduction in Claims Through Strategic Improvements
After transitioning carriers, which is only done when a better plan and network are available, we worked to improve claim cost performance with the new carrier. Based on historical data and trend analysis, our team projected an additional $1.8 million in claim cost improvement, further amplifying the financial impact of the change.
$2M+ in Rebates Secured By Pharmacy Contract Optimization
Pharmacy spend continues to be one of the fastest-growing components of employer-sponsored health plans. By negotiating a new pharmacy benefit contract, BSI was able to secure over $2 million in rebate value for the client, without compromising access to medications or employee satisfaction.
Ancillary Benefits: $100K Savings with No Change in Carrier or Benefits
Finally, a full market evaluation of the client’s life and disability plans led to an additional $100,000 in savings, all while maintaining the same carrier and no change in benefit levels.
The Bottom Line
Employers have more leverage than they realize when it comes to managing benefit costs. With the right partner and a strategic approach, dramatic savings are possible without sacrificing benefits, coverage, or a positive employee experience. Whether you’re facing rising renewals, evaluating funding models, or looking to optimize pharmacy and ancillary contracts, BSI can help you uncover new savings opportunities and build a long-term strategy for sustainable benefits management.
Interested in learning what BSI CORE could do for your organization? Contact us to schedule a no-obligation market evaluation.