Employee Benefits Division

A properly designed employee benefits portfolio will serve as an investment in human resources, and not just a drain on working capital. For over thirty (30) years, R^4® has crafted benefit designs that have had a significant impact on the success of businesses.

REVERSE DISCRIMINATION:

Traditional employee benefits - and social security benefits - discriminate against highly compensated business owners. R^4® designs tiered employee benefit portfolios that reverse such discrimination. The firm’s structured employee benefits process designs supplemental life insurance, disability insurance, and retirement platforms that are specifically crafted to benefit the highly compensated business owners and key executives.

PRICING (UNDERWRITING):

Most businesses engage R^4® because they are not satisfied with their annual rate increases and/or with their previous service platform.

Once engaged, the affiliated resources of R^4® will dissect the existing insurance contracts and evaluate the available claims utilization reports (“claims experience”). However, most businesses only get vague claims experience, since insurance carriers usually refuse to release detailed claims experience unless contractually required.    

To combat the insurance manufacturers, R^4® negotiates a “utilization release” clause into almost every insurance contract. DATA IS POWER, and with the detailed utilization reports, R^4® can more aggressively negotiate with the insurance manufacturers to achieve lower costs without changing any benefit features.

Most benefit brokers do not demand a “utilization release” clause since they are unable to interpret the data in the detailed utilization reports. As a result, the insurance manufacturer retains the pricing leverage and the business is faced with ever increasing premiums.

FUNDING:

R^4® has extensive practical knowledge with implementing various benefit designs. The firm’s implementation of health savings accounts (HSA), health reimbursement accounts (HRA), split funding, gap finding, partial self funding, self funding with aggregate and specific stop-loss reinsurance, and fully insured funding will give each client a full spectrum of available benefit options. As an outcome, each client will better understand why they are acquiring their particular funding platform and why they are not selecting any of the various other employee benefit platforms.

EMPLOYER SIZE:

R^4® has established three (3) distinct departments within its employee benefits division. The firm’s Small Employer Health (SEH) department supports business with 25 to 100 employees. The Mid-Employer Health (MEH) department supports businesses with 100 to 500 employees. The Large Employer Health (LEH) department supports business with 500 to 15,000 employees.

R^4® EMPLOYEE BENEFITS CALL CENTER for select MEH and all LEH clients:

Imagine going to CVS early one evening to pick up your high blood pressure medication only to be advised by the CVS pharmacist that your prescription benefits have been cancelled. The immediacy of obtaining this medicine may be of critical importance to your health, and being denied coverage is certainly a frustrating experience.

However, thanks to the R^4® Employee BenefitsCall Center, there is no need to get worried or upset. Just contact the CallCenter. A dedicated staff member will verify your coverage and then either correct the problem with the pharmacist or use our corporate credit card to purchase the medication. During the next business day, we will fix the problem and correct the billing.

The Call Center will help solve problems involving, but not limited to: benefit questions on medical, prescription drug, dental, vision, life, AD&D, disability, flexible spending account (FSA), health savings account (HSA), and health reimbursement account (HRA) plans; procedural issues such as pre-certification, pre-admission, or electing a local network provider; and claims questions and resolutions.

The call center’s hours of operation are Monday through Thursday 8:30 AMto 8:00 PM, and Friday 8:30 AMto 5:00 PM.

Having access to the call center ensures that a dedicated and knowledgeable person is always handling your needs (with a sense of urgency), as opposed to contacting the insurance carrier directly and ending up with a person who may be disinterested or who may lack the knowledge and experience to effectively resolve your needs.

VOLUNTARY BENEFITS:

In addition to employer funded employee benefits, the business owner can offer voluntary benefits (VB) which contractually must be funded by the employee. Since most employees do not have access to quality financial advisors, they usually do not own appropriate amounts

of personal gap insurance, life insurance, short term disability, long term disability insurance, or long term care insurance.

The death or disability of an employee, or an employee’s dependent, may very likely create significant financial hardship that could have adverse ramifications to the business.

If a long term, highly productive employee dies or becomes disabled, the business owner may want to help by continuing wages and/or extending benefits. Unfortunately, no good deed goes unpunished, and this generosity could be used by any other employee as precedence when attempting to get similar support in the future. This unintended consequence could be avoided if the business owner offered voluntary benefits.

Voluntary benefits will provide the employee with access to quality protection products at discounted rates. The business could offer the following cafeteria menu of voluntary benefits:

1. Gap Insurance
2. Life Insurance
3. Dental Insurance
4. Disability Insurance
5. Critical Care Insurance
6. Long Term Care Insurance

Salaried (non-commission) advisors will meet one-on-one with each employee to provide additional education regarding the employer’s core benefits and the availability of voluntary benefits.

Voluntary benefits are easy to understand, less costly than retail protection products, and can build goodwill without creating additional material expenses for the business owner.

ACTION STEPS:

Business owners, accredited investors, and trusted advisors are invited to contact R^4® to receive customized Risk & Wealth Solutions^®   as well as references.  Since confidentiality is at the apex of the firm’s priorities, client references will only be released with the direct permission of each respective client.  For additional information regarding the operational structure and resources of R^4®, please visit www.R4RWS.com

Reproduction of this material is expressly prohibited without prior written authorization from the owner.

.