Engaged Management — Making Self-Insurance Better Than Ever

December 4, 2017 | Varipro

At Varipro, one aspect of our services that we like to highlight is engaged management. We’ve also learned that engaged management is not always a well-known term, which is why we have decided to dedicate this week’s article to explain it and what makes it so beneficial.

What does Engaged Management mean?

First, let’s fully define engaged management with Varipro; The effort and action of TPAs (third party administrators) working in partnership with an organization, providing explicit education and instruction for the creation of a self-funded benefits plan, tailoring the plan to an organization and the needs of its employees.

You see, rather than using an already templated plan, TPAs work side-by-side with an organization, learning what types of coverage and services are going to be the most beneficial for a company and it’s workforce. Once TPAs have gathered enough knowledge, they transform from student to teacher. Educating employers and decision-makers on how to best construct their healthcare plan and benefits package.

Engaged management also goes beyond the creation of an employee benefits plan, and throughout the management process as well. TPAs keep a watchful eye on plan participant activity, coverages used, prescription and services costs, and anything else involving the provision of benefits. By doing so, TPAs are not only able to provide detailed reports but also a vast amount of insight. This insight gives TPAs and employers all the information needed to make well-informed decisions for their self-insured health care plan.

What are the benefits of having Engaged Management?

The importance— and overall purpose — of having a TPA (or even an agent) that uses an engaged management approach, is the avoidance of being lost in a predetermined plan structure. Meaning, that employers have the power and knowledge to create a healthcare plan,  focusing on their workforce. By doing so, employers can:

1. Control costs, creating a higher chance of profitability.
2. Avoid paying for unnecessary coverages.
3. Improve employee retention by providing sought-after benefits.
4. Hold local healthcare facilities accountable for delivering quality care.
5. Make well-informed decisions about providing employee health care and benefits.

 

To learn more about TPAs and engaged management, check out our smart sheet: What is a TPA – Third Party Administrator?