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Brokerage Services for CBIZ Employee Services Organization
In support of these five objectives CBIZ has put together a service team that we believe is exceptionally well
qualified to execute both the strategy and tactics required for you to succeed in accomplishing the goal of having
Pike’s employees be proud of being a part of the Pike team.
We believe there are a number of initiatives that can be taken that will accomplish your stated objectives. The
following examples are provided:
A comprehensive benefits communications and enrollment platform - case studies have shown that
utilizing vendors specializing in this area can reduce turnover and create significant saving. A 1%
reduction in turnover at Pike would generate annual savings estimated to be in excess of $1.8 million (see
illustration in RFP response). The cost for a platform of this nature utilizing 5500 eligible employees
would be less than .4% of your total benefit expenditures.
Prescription Benefit Manager (PBM) carve out- estimated to reduce Rx spend by up to 15%
Population (Health Management) and Data Analytics- studies indicate trend reduction of 2% to 3%
Dependent Eligibility Audits at like industry employers have shown total plan cost reduction through
elimination of ineligible covered dependents in the 4% range
Network Efficacy Analysis and Administrative Fee Negotiations have shown medical plan savings in the 1%
to 3% range
Stop loss captive analysis with potential to reduce stop loss cost by 10% to 15% without increasing the ISL
deductible
ROI study for an onsite clinic at Pike headquarters. Typical ROI in the 1.5 to 2.5 times range
Aggressive marketing of Life, Disability, Dental and Vision coverages have produced premium savings that
are from 15% to 25%
All of these steps do not involve any plan design changes that could affect Pike’s “grandfathered” status.
The following proposal has been prepared to demonstrate our dedication to meet your needs and goals, the
proposal also portrays our in-depth resources and extensive experience in providing solutions to organizations
facing similar issues as Pike.
Again, thank you for the opportunity to present this proposal.
Sincerely,
Frederick R. Schremp, CLU │ Senior Vice President
CBIZ Employee Services Organization
A division of CBIZ Benefits & Insurance Services, Inc.