Case Study

Data-Driven Plan Design

THOUSANDEYES SAVED 15% ON HEALTH PLANS

ThousandEyes was facing double-digit employee growth and a 20% renewal on their small group health plans. Their current contribution incentives favored an HMO, and the company was looking to re-design health plans with a defined contribution model.

With a relatively young and healthy demographic, the team was certain the right plan design and contributions incentives could drive savings and employee value at the same time.

SOLUTION

Lumity analyzed the ThousandEye’s current plan structure, rates and employee information. An employee-by-employee breakdown of current age-banded rates versus large group rates revealed it was time to transition. As a result, Lumity was able to secure large group PPO plans with coverage that was comparable to their existing HMO base plan.

In order to provide equally weighted plan choices, Lumity calculated optimal employer contributions keeping the PPO plans value-neutral. This resulted in specific Flexible and Health Savings Account (HSA) contributions that created the right incentives for employees to choose a health plan based on their own expected healthcare needs.

During open enrollment, Lumity’s platform provided personalized plan recommendations to each employee based on the estimated health needs of each individual or family.

RESULT

ThousandEyes saved 15% on comparable health plans, added competitive PPO choices, and redesigned employer HSA contributions. The savings allowed ThousandEyes to offer a “free” plan: they now cover 100% of all high-deductible PPO premiums.

As a team of one, Lumity’s data-driven enrollment software and expert support have helped me manage our benefits and increase employee satisfaction. They literally came in at the last minute, helped us fight a high renewal, and structured our benefits to scale with our growth this year.

Jonathan_akhavan_Thousandeyes-profile-shot

Jonathan Akhavan

Head of People Operations

ThousandEyes is a Network Intelligence platform that delivers visibility into every network modern enterprises rely on.

If you’re interested in how Lumity can help your company optimize benefits, schedule a free consultation with Lumity’s benefits expert now.