Making the Switch to Defined Contribution – Save Money, Time and Offer Benefits Employees Love

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As health insurance costs rise and traditional health plan options become less attractive, employers are looking for ways to offer competitive employee benefits, while reducing costs.

Defined contribution is emerging as the preferred approach for many employers as it offers affordability, value, and administrative ease, all while offering employees more choice. (Get the Gravie Guide.)

Here are just some of the advantages of switching to a defined contribution health benefits model through Gravie:

  • Employers set their own budget so they know the maximum amount they will be paying towards benefits.
  • Employers get out of choosing “one-size-fits-all” group plans.
  • Employees get more options than they would with traditional group benefits and are able to choose the plan that fit their unique needs.
  • In some cases, employees may be eligible to receive tax credits, which could lower the cost of benefits. 

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Topics: Dropping group health insurance plan, Health Insurance, Employee Benefits