Harmonious Collaboration with E.B. Providers Advantageous for International Companies
When selecting insurers, medium-size international companies might be better off taking a long-term perspective
Why a harmonious collaboration with Employee Benefits Providers can be advantageous for International Companies
A long-term perspective is key
In today‘s world of fast flows of information and increased striving for transparency, it became natural to source products and services from distant markets and change providers/vendors regularly. Often the main reason for repeated changes of providers is price.
While in many moments in private and business life providers are a faceless, easily exchangeable factor, in some areas, such practices might cause more harm than good. The insurance market is one of these areas. Whether domestic or international, the insurance market consists of an ever-shrinking number of B2B vendors.
Changing a health or a life insurance carrier very often could quickly result in higher prices in the midterm. Insurers are communicating to each other and monitor the client’s behavior. Constant changes will lead to a hardening pricing policy, hence more costs for the client.
While the largest Multinationals might have a strategy of short-term profit generation also footing on their large purchasing power, privately owned companies “tick” in a different way, embracing a longer-term view. This is beneficial when establishing long-term partnerships with insurers. That often results in a valuable high transparency in the cooperation. Because of a long-term commitment of all parties, insurers can base their pricing on sound technical decisions more than on the contingent market situation. To manage such harmonious cooperation, a high degree of technical expertise which is provided to clients by employee benefits specialists such as the ASN-WEB team is available through an affordable and highly recommendable outsourcing.
This brief article is the sixth and last in a series of six contributions brought to you by ASN, Advisory Services Network AG.
ASN, Advisory Services Network AG, based in Zürich, focuses on driving better management through its global network of international insurance experts, supporting organisations of all sizes.
ASN provides trusted advice and services to management at head office level, as well as local subsidiaries, establishing the levels of control and information access required to reach that ‘dream’ EB scenario.