Lumity approached the partnership with a cost analysis based on the fully loaded PEPM Bitly was being charged. Because a PEO does not provide claims visibility, Lumity’s benefits consultants ran a proprietary risk model based off the anonymized census from Bitly’s employee roster.
When the cost forecasting came back extremely favorable, the team used the forecasting to model benchmarked rates for a benefits package that consolidated the plan selection down to three core offerings:
• A PPO
• HSA-eligible HMO
• EPO plan hybrid of HMO and PPO advantages
The team used the benchmarked rates to negotiate with the major national carriers and ultimately secured rates at a 15% discount to the company’s renewal.
The final benefits package included ancillary lines of coverage and fit well within the team’s budget. With the package locked down, the Lumity team project-planned implementation and open enrollment dates to ensure a seamless transition onto the benefits platform, all within an 8-week PEO migration timeline.