The total cost of unplanned absences is more significant then most employers realize and is generally not tightly controlled. As a result, unplanned Absence equals 64% of medical costs,

  1. Major Cost Components
    1. Direct premium costs
    2. Direct payroll costs f or incidental and extended absences
    3. Indirect costs for replacement workers and/or lost productivity
    4. Administrative expenses for internal staffing or 3rd party vendor fees.
  2. Business Issues
    1. Lack of integrated systems to track absences
    2. No accountability within organization for management and reporting
    3. Consulting community does not leverage the link to drive change.
    4. Lack of integration between desparate providers to impact results.
  3. Hospitals face even higher risks
    1. Demanding  work
    2. Continuous 24/7 operations
    3. Increased chance of injury
    4. Exposure to illness and disease
  4. Hospital risks additional factors
    1. There is a 37% higher rate of depression than in other working populations
    2. There is an 89% higher rate of injury among hospital workers verses those in the private industry as a whole.
    3. There is a growing shortage of nurses in the U.S. By 2025 there will be a shortage of 500,000 nurses.
  5. Example: In a hospital with 5,000 workers,62 full-time employees are absent from work every day. The costs of these absences include:
    1. Cost of lost wages
    2. Recruiting costs
    3. Cost of replacement workers
    4. Lower productivity
    5. Lower quality of care risks
    6. Resource exhaust for replacement training

The results of all above are that 55% of medical costs are generated by the 10% of the workforce who file a disability claim

  1. Covers group life and disability plans
  2. Has a 30+ year history serving clients
  3. Has a 97% client retention rate
  4. Covers over 300,000 employees at over 150 hospitals
  5. Has an average annual savings of 25%
  6. Is fully insured
  7. Comes with a three-year maximum rate guarantee. (Rates cannot go up but can go down).
  8. Program includes a highly effective Absence Management program which saves clients 5x-10x the amount saved on the life and disability rates.

In order to prove our claims, we need only-

  1. A current census
  2. A letter to current carrier(s) permitting us to talk to your carrier to obtain any additional info needed

Within 45 days of receiving these items we will be back with a complete presentation of plan rates, design recommendations




  1. Time Off
    1. RFP design for Life, Leave. FMLA. STD, LTD and Workers Comp
    2. AUDIT- Leave, FMLA, STD, LTD, Life (Claims Operations, Financial)
    3. Renewals
    4. Financial review- Paid/ Incurred loss ratio
    5. Vendor Integration
    6. Reserve Buy-Out support
  2. Service
    1. Implementation support
    2. Internal training
    3. Communications review/ recommendations
    4. Procurement services for in-sourced clients
    5. Performance guarantee, development, negotiation, management and monitoring
    6. Policy review/ creation, (attendance, leave, STD)
  3. Analytics
    1. Incidence/ Duration/ Diagnostic Analytics- Key disability drivers
    2. Reserve analysis
    3. ROI modeling
    4. Process review- Federal, State and Local Leave Law Compliance review
    5. Claims team staffing analysis
    6. Bench Marking competitors’ programs
    7. Merger and acquisition plan review
    8. State compliance review
    9. Data Warehouse Reporting/ Support
  4. Vendor Management
    1. RFPs
    2. Audits
    3. Vendor integration
    4. Reserve buy-out support
    5. Vendor Stewardship Meeting Management