Client Saves $156K After 10% Renewal Increase is Negotiated Down to 0

The Client

Large Animal Hospital Located in the STL Region

The Challenge

Under their fully insured medical plan, this group wanted to maintain their current level of medical benefits during their renewal process.

Their current carrier, to whom they had moved to the previous year, proposed a 10% increase in premiums at renewal. The company had elected to move this carrier in order to avoid a similar increase.  The move caused a lot of employee disruption and understandably, the group did not want to change carriers again.

The Solution

Utilizing internal underwriting expertise and the capabilities of our proprietary Sync tool, the Caravus team calculated the true renewal increase based on claims and utilization data from the previous 24 months. Caravus then negotiated the renewal from a 10% increase down to zero increase.

The Outcome

The negotiation resulted in savings of $156,000, and the group’s existing level of benefits and contributions was maintained.