In the numbers-driven world of group insurance, some of the best decisions are made with numbers in the background. Identifying the right plan means knowing both the complexities of group insurance, and the complex organization the group has formed. The best health plans can advance your strategic direction, address your competitive environment, and support your workplace culture. It's a lot more than claims data, and actuarial assumptions. So, as a true advisor, we do more.
With over 40 years of combined experience, we know the business of health plans. We also know what's like to run a business. As former managers in several large and growing companies, we've seen the real impact of group insurance decisions - the good and the bad. Now, as advisors, we are focusing those experiences and insights on helping organizations make good decisions.
By most definitions, we're consultants. And that's true, with this important difference: we advocate and practice full financial transparency. We favor fees over commissions, and we disclose every dollar we earn because of your business. Call us consultants or advisors, but not middlemen. Our focus is squarely on you, and we work to earn your business through performance, integrity, and results.
Study Reveals Widespread 5500 Noncompliance
So, Why Does Compliance Matter?
A study recently released by Corporate Synergies showed that 49% of employers were improperly filing or failing to file 5500 reports for their health and welfare plans1. Incredibly, it appears these employers didn’t know they needed to file a 5500, thought someone else was doing it, didn’t have the time, or simply didn’t care.
It has been our experience that 5500 filings are just the tip of the noncompliance iceberg. Health and welfare plans are governed by a wide array of laws. Many employers are not even aware of their obligations and fiduciary responsibilities under the Employee Retirement and Income Security Act (ERISA) and other federal mandates.
Some employers will ask: “Why does it matter? I haven’t been caught so far.” And, that’s true for many employers. But, change is coming and these employers may not realize their potential liability. In fact, we see three trends coming together that may very well put compliance at the top of every HR Manager’s priority list.
1 Whiddon, Robert L. “Comedy of Errors.” Employee Benefit News. Vol. 22, No. 12 (September 15, 2008): 13-14.