The Next Generation of Worksite Marketing Who is Essenture? Essenture is a marketing and enrollment company that comprises over 150 years combined experience with their management team. With four principal founders and 9 Regional VP’s spread out in PA, OH, WV, VA, NC and NV, Essenture is a premiere organization in Workplace Benefits. Essenture works to: • Empower employees • Strengthen broker/client relationships • Save Employers’ time, money, and resources
The Next Generation of Worksite Marketing Brief History Essenture was founded in May of 2006 by four partners who spent most of their career in providing benefits at the workplace. It was born out of the following beliefs: • Felt there was a better structure than a single company structure • Recognized the important role Brokers play in the market and placed an emphasis on partnering with them to work as one unit to the client • Saw an increased need to be flexible to take advantage of a wide array of opportunities
The Next Generation of Worksite Marketing Mission Empower employees, strengthen broker relationships and save employers’ money. Vision To redefine voluntary, supplemental, benefits as benefits that are essential to every employee’s future
Reality of Healthcare The Next Generation of Worksite Marketing
Health Plans Face Cost Spike
Businesses Caught in Benefits Squeeze
The Shrinking Employer $$$$$
Sky Rocketing Deductibles and Co-pays
Today’s employees are at great risk
Cost sharing is a must with ALL Benefits
Employer Need The Next Generation of Worksite Marketing
No direct cost or contribution
Enhances benefit structure
Turn-key education and enrollment service
Delayed billing – no fronting of funds
No coordination of benefits
Bottom line tax savings – through pre tax deductions
The Next Generation of Worksite Marketing As medical bills mount, so does credit card debt 36 million Americans carry some amount of medical debt NEW YORK - Peggie Sherry is a cancer survivor. Her treatment took two years. Even with health insurance, she was left with $40,000 in uncovered medical bills. "I would wake up and say, 'Oh my God, I have cancer,' and then the second thought is, 'How are we going to pay for this?'" After depleting her savings, Sherry charged the rest of her medical expenses, some $10,000, to her credit card.
Cambridge Health Alliance/Harvard Medical Study June 2009 The Next Generation of Worksite Marketing
60% of all bankruptcies caused by Illness and medical bills
Affected over 2 million Americans
Over 77% had health insurance
56% owned a home and attended college
92% direct result of high medical bills
$17,943 average out of pocket – insured
$26,971 average out of pocket - uninsured
Employee Need: The Next Generation of Worksite Marketing
RISING COST OF BENEFITS? The Next Generation of Worksite Marketing Health insurance premium grew 30 times faster than the growth of real earnings during 1999–2007 1 Source: (1) Kaiser Family Foundation, 2007; (2) Watson Wyatt
In a recent Watson Wyatt study the following was concluded…
The Next Generation of Worksite Marketing Source: “Benefits 101: Would Your Employees Pass the Course?, 2007” Communications Perception of Employee Strong benefit package Poorly communicated 22% happy with benefits A less rich benefit package Strong communication 75% happy with Benefits
Workers’ comp claims are lower when voluntary accident and disability is offered, especially among mid to large size employers.
The Next Generation of Worksite Marketing Source: American Family Life Assurance Company of Columbus Proprietary Broker Study 2008 Source: LIMRA Survey 2008 for American Family Life Assurance Company of Columbus Company Size Strongly Agree 100-999 46% 1,000-4,999 65% 5,000+ 58%
What day of the week are approximately 60% of comp claims filed?
Larger deductibles implemented due to rising cost of healthcare and employees not having Accident, Short Term Disability coverage leaves opportunity for a weekend accident to become a fraudulent worker’s comp claim.
This has an adverse affect on the business and the employees as a result of less revenue, increased overhead expenses and lower pay for employees.
The Next Generation of Worksite Marketing Source: American Family Life