3 Ways Partnering with a PEO can Help Reduce Healthcare Costs (And More) for Your Business

Healthcare costs can be a significant drain on many small business' bottom line, making them an important consideration when planning operating costs and budgets. Small businesses often struggle with recruiting and retaining top talent when the costs of having an attractive benefits package becomes a burden. While you can’t stop employees from quitting, you certainly can give them more reasons to stay. And one way to do so is by offering a competitive healthcare benefits package.

As a business owner, navigating the complex landscape of employee healthcare offerings can be challenging. In fact, many business owners do not have visibility into the true costs of healthcare services, due to a lack if transparency from providers. The fine line between employee satisfaction and cost management is often blurred when HR is not properly managed.

So how can small business owners avoid costly mistakes, yet still provide innovative and comprehensive healthcare options to their employees? The answer lies in partnering with a PEO that has a team of HR experts who are dedicated to helping businesses manage complex processes like healthcare services, dental plans, and flexible coverage options. In fact, our healthcare premiums are around 5% below market averages and save employers up to $3,500 per employee over ten years. Here are a few key benefits to look for when outsourcing your HR needs:

Buying Power

Look for a vendor that has a portfolio of providing healthcare services to thousands of employees. When your employees are combined with thousands of others from different clients, you can leverage collective buying power for better, more stable pricing and coverage options. This translates to discounted rates on health insurance and other employee benefits, with savings passed on to you and your business. That means you can offer superior employee benefit options—ones that fit your employees’ lifestyle needs, making you a more attractive employer to both current and prospective employees.

Strategic Relationships

Partnering with an HR outsourcing provider that has strong ties to widely known healthcare plan providers gives your employees access to some of the best and most affordable benefit packages available. They negotiate on your behalf with trusted providers to secure top-notch benefits and perks, allowing you to offer “big business” benefits to your employees. ProService Hawaii has partnered with top healthcare providers in Hawaii to negotiate the best rates for our clients, giving them the opportunity to offer attractive healthcare packages at an affordable cost. We've made it easy for you to make sure your benefits package is top-notch—just sign up here for an easy 15-minute consult.

Reporting and Optimization

The true value of partnering with a HR outsourcing provider is the opportunity to gain better control over your costs while growing your business. A vendor that can provide real-time reports on invoice and billing, employee benefits, and cost allocation empowers your business to optimize and manage healthcare costs more effectively. Plus, it’s a full-service offering—your PEO can handle guidance, compliance, technology, open enrollment, Affordable Care Act reporting, and more.

It’s crucial for business owners to build employee engagement and loyalty before turnover takes a toll on your profits. Good benefits increase employee retention, making you a more attractive employer and saving money in the long run. In order to ensure you have the right partner to manage your employee healthcare, sign up for our free consultation for your business. Don't let healthcare costs hold your business back. Take the first step towards a more cost-effective and employee-friendly benefits strategy today.

About ProService Hawaii

ProService Hawaii is the state’s leader in HR consulting and management. The company gives employers access to benefits, payroll, HR and risk support that make it easier to hire, manage and grow their teams. With over 3,000 client employers and 50,000 employees statewide, ProService Hawaii impacts nearly 10% of the state’s private employment market, making it the largest and most trusted provider for HR services in Hawaii since 1994. As an industry leader, ProService combines the power of passionate local experts with innovative products to build and transform the workplace in Hawaii. ProService is headquartered on Oahu at 6600 Kalanianaole Hwy., Ste. 200, Honolulu HI 96825. Additional offices are located in Kona, Kahului, Kapaa and Downtown Honolulu. Telephone: (808) 394-3100.