The liberty advantage for your employees​

By employing the Liberty Advantage approach, our experts address the complexity of employee benefits and develop plans targeted to address unique needs for each client. We offer a wide variety of Employee Benefits products and insurance services. Through our partnership with over twenty-five of the nation’s top insurers, we’re able to provide the best products at competitive prices for your business.

CONSULTING SERVICES

We view each client as unique and customize our consulting services based on the degree of complexity or simplicity of your benefits program. We approach our fees for consulting in the same manner; we consider the level of support needed to deliver a comprehensive benefits program to your most valued asset. Our capabilities include:

HEALTH AND WELFARE BENEFITS CONSULTING

  • Plan Design and Implementation of Changes
  • Annual Planning Sessions
  • Benchmarking
  • Risk Review and Analysis
  • Claims Utilization Analysis
  • Plan Modeling
  • Compliance Support
    • Explaining the impact of regulatory environment on your benefit plan. Including, ERISA/COBRA/HIPAA/PPACA
    • 5500 Preparation
    • SPD Preparation
    • Compliance Reviews
  • Employee Contribution Strategy
  • Actuarial Services
  • Employee Educational / Enrollment Meetings
  • Benefit Communications
  • Wellness Program Assistance

BROKER SERVICES

We believe the role of a broker is to stand in the shoes of our clients. While we build strong relationships and partnerships with many insurance carriers and third parties, we represent our clients, not the carriers from whom they purchase coverage. Our broker services include:

  • Market Study Analysis
  • Requests for Proposals
  • Vendor Implementation
  • Renewal Negotiations
  • Contract Review
  • Vendor Liaison

INSURANCE / THIRD PARTY ARRANGEMENTS

Through our partnerships with over twenty-five of the nation’s top insurance service providers, we’re able to provide the best insurance arrangements for the most competitive cost, including:

  • Medical
  • Dental
  • Vision
  • Life Insurance
  • Loss of Income
  • Retirement Plans
  • Self-Funded Programs
  • Wellness Programs
  • Long Term Care
  • TPA Services
  • Flexible Spending Accounts
  • Health Reimbursement Accounts
  • Health Savings Accounts
  • Business Travel Accident
  • EAP Programs

Employer Consolidates Health Plan with Alternate Funding

Customer Challenge:

A retail distributor with eight branches in three states had been sponsoring three health plans, each separately rated and managed by an HMO. Costs of those plans were expected to increase 24%.

Company goals were to:

  • offer the same benefits for the same cost to all employees in all locations
  • explore self-funding for its health plan
  • decrease costs

The client had found that local brokers were not able to effectively consolidate benefit plans across state lines or access necessary data to evaluate self-funding. Large national consulting firms deployed only junior resources, who were inexperienced in managing interstate benefits.


The Liberty Advantage Solution:

Short Term
As a partner, we went into action by first meeting with the client and listening to its goals and objectives to gain a thorough understanding of business needs, company culture, and budgetary constraints. We committed senior experts, who developed short- and long-term plans and were responsible for strategy implementation. As a licensed broker in multiple states, Liberty was able to effectively manage the consolidation.

We analyzed the benefits and costs for each of the three plans to create a consolidated option that took advantage of the client’s collective size. It included a Consumer Driven Health Plan (CDHP) with a Health Reimbursement Arrangement, along with a traditional PPO option that offered employees a choice with costs similar to their previous coverage. Liberty also educated the client on the CDHP, along with self-funding options to consider in the long term. 

To help ease the transition, a senior member of our team, who understood both the plan changes and the client’s culture, actively participated in educational meetings at all eight client locations. This full support and service were part of Liberty’s value.

Long Term
After the fully insured consolidation, our team also began analyzing the claims data to assess opportunities for additional savings. After the second year of plan consolidation, the client was faced with a 25% increase from its insurance carrier. Fortunately, we had already been looking at alternative funding methods, educating the client about the advantages of self-funding and illustrating the potential cost impact by structuring the appropriate stop loss levels.


Results

Short Term
First-year participation in the CDHP plan was 50%. With the successful plan implementation, the client saved 14% in overall costs the first year, and with a favorable loss ratio, experienced a 0% rate increase the second year. The total premium savings for the client in year one was 200% greater than Liberty’s annual fees, providing an excellent value-to-cost ratio, supported by excellent services and results that exceeded client expectations.

The client’s decision to provide the consolidated plan achieved goals by:

  • providing the same benefit options to all employees throughout the multi-state company
  • providing premium savings 
  • offering a Health Reimbursement Arrangement
  • added incentives for employees to maintain good health

Long-Term
By implementing a self-funded plan for this 400 employee life group, we projected a total plan cost reduction of over $600K for their first year self-funding with a net savings of $240K over a two year period. At the end of their first year of self-funding their actual costs were running 23% lower than projected, with the additional savings flowing directly to their bottom line. The end of years two and three they had trend increases to their health plan.

 

The Power of Negotiation Translates into Cost Savings

Customer Challenge:

An international manufacturer of automotive industry components with employees and retirees throughout eight U.S. states was seeking to:

  • Contain its employee benefits costs
  • Maintain the richness of its current benefit package
  • Retain access to a strong network of physicians and hospitals.

Challenges for this client included the fact that it was without any U.S. based human resources leadership in the organization. Further, the client was not large enough to receive adequate claim data from the carriers.


The Liberty Advantage Solution:

Because of the client’s staffing situation, our team made the commitment to establish and maintain a proactive, hands-on approach to accommodate the client’s unique needs. We took the time to get to know the manufacturer’s specific challenges, concerns and questions through a focused discovery process to develop a strategic insurance plan and a strong relationship for support.

Year over year, Liberty actively marketed the medical coverage to other carriers on behalf of the client. In doing so, we were able to leverage the competitive quotes for a reduction in the renewal increase.

By gaining a full understanding its unique needs and advocating for the client when seeking options, the Liberty team was able to present multiple choices, along with recommendations. 


Outcome:

Liberty was able to successfully negotiate double digit renewal increases:

  • Year one – from 13.36 percent down to 7.36 percent
  • Year two – from 10.5 percent down to 2.32 percent
  • Year three – from 9.8% down to 0.00% 

The successful negotiations resulted in a $300,000 savings over three consecutive renewal periods. No plan design or carrier changes needed to be made; therefore the richness of the benefit package was maintained.

High Claims Yielding a High Renewal

Customer Challenge

An international industrial engineering and manufacturing firm headquartered in Belgium with U.S. operations in Ohio and Pennsylvania received a 49.6% fully insured renewal increase raising their annual medical costs from $2M to $3M in one year due to large claims.

Their challenge: Offer the same rich benefit levels, keep employee contributions well below benchmarking norms, and increase employer contributions by no more than $200K for each business unit.

The management team was reluctant to move from fully insured to partially self-funded, a funding arrangement they were not familiar with, as well as leave the current network of providers.


The Liberty Solution

Because Liberty was monitoring monthly claim activity, the client was aware and prepared for the large renewal increase. We worked closely with the HR team and 20 members of the Management team throughout the year prior to renewal educating them on Consumer Driven Health Plans and self-funding as an alternative funding arrangement.

Liberty evaluated Third Party Administrators and the networks they offered, and stop loss carriers to protect the client from exposure to catastrophic claims under a self-funded arrangement.


Results

We were able to meet all of the group’s objectives of maintaining the current benefit structure, offer a strong network of physicians and hospitals while maintaining employee contributions well below benchmarking norms.

Liberty senior resource conducted Open Enrollment meetings at each location providing employees direct access to the lead consultant to reassure a smooth transition of the benefit changes.

The clients cost under a self-funded arrangement with a Third Party Administrator and stop loss protection reduced the clients year one expected costs from the 49.6% renewal down to 11.0%.

97% of our customers rank our Benefits team as excellent or above average (Customer Satisfaction Survey).

Liberty is one of the leading independently owned employee benefit firms in the Mid-Atlantic Region, serving clients nationwide.

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