Supplier Management

Aspects of the benefit program that should be managed:

  • Competitive cost advantage (long-term cost containment).
  • Contribution to the corporate culture through employee understanding and appreciation.
  • Affordability (short-term cost containment).
  • Compliance with legislation (Employment Standards, Human Rights etc.).

Medical and Dental:

  • Hyperinflation due to cost shifting, aging workforce, and price increases.
  • Employee dissatisfied with claim payment.
  • Required medication or service not covered.
  • Claim declined because it was submitted too late.
  • Perceived breach of confidential medical information.


  • Letters of offer inaccurately describe benefits.
  • Letters of offer describe benefits too specifically.
  • Confusing eligibility dates (new, rehired, changes in hours).
  • Inconstancy between insurance policies and HR policies.
  • Letters of termination extend benefits inaccurately or without approval.
  • Conversion of life insurance at termination or age 65 not documented.

Income Security

  • Short-term disability plan abused.
  • Performance problem evolves into a disability claim just before termination.
  • Disability wording too narrow to facilitate rehabilitation.
  • Life insurance waiver of premium not applied for.