Employers are beginning to wait for more of their medical care providers, whether they are insurance partners, third -party administrators, pharmacy benefits managers, consultants or points solutions. This is especially true because employers have fiduciary responsibility to obtain the best benefits for the best price for their employees.
Duration A recent discussion panel at the Midwest Business Group On Health conference in Chicago, a group of employer leaders shared the council they would give to partnership suppliers on how they generate confidence with employers.
A panelist said it is important that suppliers be in advance and honest if something goes wrong.
“If something happens, and things are going to happen, just tell me,” said Carole Mendoza, former vice president or benefits in Voya Financial. “I don’t want to hear from an employee. I don’t want to listen to Cuite C, certainly. So if something has gone crazy, and tell me how you are going to fix it. Something explodes, tries to brush it under the back, and I discover it from another person.”
Another panelist echoed Mendoza’s comments.
“The supplier has to really listen to it to understand what their needs are,” said Shaerri Samuels Furtest, vice president of Sergeant Cheese. “And then, be honest. If they can’t do something, they don’t sell you an bill of goods. Be honest as they can’t, and know us halfway, or try to find a way to avoid what is as if they can’t do.”
Jason Duhon, director of Total Rewards and Human Resources of the Caterpillar construction company, said it is important to understand the incentives of the supplier. For example, the company was looking for a navigation service and asked a question in the request for proposal that said: “Do you have contractual restrictions that do not allow you to talk about the cost and quality for some of the health systems or clines?”
Duhon said the answer was “yes” for about eight of the 10 suppliers to which he asked this question.
“I am trying to make our people go to the best hospitals with cost and quality in mind, and tell me as a browser that you have contractual restrictions that do not allow you to be honest about it,” he said. “I can’t enter that relationship.”
Duhon also shared recommendations on how employers can use their data to fulfill their fiduciary responsibilities, including comparison employer’s prices to compare data.
“I think you should feel safe that the prices you are offering for your employees are competitive in the market and that you have done everything you can to get the best quality at the best cost for them,” he said.
Photo: Zhaojiankang, Getty images