Finding Custom Design Benefits – and lower costs
Rack’s curiosity in Custom Design Benefits paid off well for Holland Roofing Group. After seeing that sign multiple times and eventually meeting one of their satisfied customers, Rack called his broker and the relationship began.
“The bottom line was to find an affordable plan for our employees that was also a great plan,” he said. “When I looked into Custom Design Benefits, I learned they are a disrupter too. That caught my eye.”
Something else caught his attention right away – the savings. In their first year, Holland’s per employee per year (PEPY) benefit cost was $6,290, a savings of 47% compared with the Mercer national average PEPY ($11,920) in 2016. Each year since that trend has continued, with Holland’s PEPY benefit cost falling at minimum 40% below national average and up to 58%. Had Holland Roofing Group continued with traditional health insurance providers, they could have ended up spending an additional $30,000 per employee on their health benefits during those five years, using the Mercer average figures as the point of comparison. That has offset the need to raise premiums.
“We went from having an artificially high bill (from the major carriers) to Custom Design Benefits doing reference-based pricing,” Rack said.
“That was what appealed to me. Their TrueCost program brought some honesty to a barely transparent system.”
TrueCost is Custom Design Benefits’ national recognized reference-based pricing (RBP) program, where they work with healthcare providers to mitigate inflated health care prices, bringing them closer to their actual cost.
“In any situation, you’re getting something at a cheaper price than what the bill says,” Rack said. “Plus, I’d rather send an email back and forth with Custom Design Benefits than with a big insurance provider.”