in claims savings
increase in plan cost
increase in employee HAS participation

a360inc MRMH Award Story

a360inc wanted to implement a cost containment strategy to reduce high claim expenditures, resulting from unchecked medical inflation.

Marsh McLennan Agency (MMA) worked closely with a360inc to implement and promote Health Savings Accounts (HSAs). Increasing participation in HSA plans would save money for both employees and the employer, as the lower premiums prevent employees from paying for coverage they rarely use, as is often the case with PPO plans. MMA worked closely with a360inc’s HR team to educate employees across 40 locations on the advantages of HSA plans and how to be savvy healthcare consumers. This included the use of different technology platforms like a Benefits Administration system, webinars and the company intranet.

With a better understanding of how HSA plans work and an employer contribution thrown in, employees started migrating over from the PPO plan. It started with 82 employees in 2014 (6% utilization) to almost 1,000 in 2016 (76% utilization) – a 1,100% increase in three years’ time. During that same period, claims were reduced saving a360 over $2.3 million in claims spend with no increase in plan costs. The organization also accumulated over $1,000,000 in unspent HSA deposits. With a new HSA plan in place, the focus turned to finding a new payroll vendor that could provide more comprehensive support and integrate within their Benefits Administration system. After vetting out three different options, a new high-end vendor was selected. Not only was the platform more automated, reducing time, but it also saved the organization an additional $135,000.

Key steps taken

Related insights