The health benefits renewal season is always a time for tough conversations. This year, rising PMI premiums, new government policies, and tighter budgets are adding complexity to the process. But these challenges don’t have to lead to compromise. They’re an opportunity to prove value, rethink strategies, and build stronger partnerships with your clients.
Our whole of workforce healthcare experts, Duncan Hardie shares practical strategies to tackle renewal hurdles head-on, while James Moran expands on data-driven, inclusive solutions to drive long-term impact. Together, these perspectives provide a roadmap for navigating renewal season with confidence.
A Strategic Framework for Tackling Renewals (by Duncan Hardie)
Renewals often feel like navigating a minefield of increasing costs and constrained budgets. With a strategic approach, you can help your clients turn obstacles into opportunities. Here are five key focus areas to help you lead the conversation.
1. PMI Premium Pressures
With PMI premiums rising, some businesses feel they can no longer afford traditional coverage. Instead, focus on whole-of-workforce healthcare.
This approach is more sustainable, affordable, and aligns beautifully with ESG goals. Providing healthcare tools and fast access to care for the entire workforce not only improves health equity but also strengthens your client’s brand as a responsible employer.
2. Reducing PMI Coverage Strategically
If reducing PMI coverage is unavoidable, it’s essential to do it smartly. For instance, cancer care often represents a sizeable portion of PMI premiums.
By excluding it and offering targeted new-to-market solutions like Cancer Navigator or Rapid Diagnostics support, businesses can keep effective care options while saving on costs. This ensures employees still receive the support they need for critical conditions.
3. Tailoring Benefits to Workforce Needs
Traditional PMI often excludes sizeable portions of the workforce, but the solution isn’t just about broader access—it’s about offering benefits that reflect the unique needs of different employee groups.
For example, providing tailored solutions for blue-collar workers, such as faster access to physiotherapy for physical injuries, or diagnostics services, can make a tangible difference. Modular benefits allow businesses to address workforce-specific challenges, improving outcomes and fostering a culture of care across the organisation.
4. Benefits for Stretched Budgets
Budget constraints are a recurring theme in renewal discussions, but innovative solutions can help businesses maximise the impact of their spend.
For example, symptom-triaged digital primary care transforms the traditional virtual GP experience. By connecting employees with specialised clinicians and creating faster, more efficient care pathways, this enhanced solution addresses health issues proactively. It also reduces absenteeism, improves productivity, and shows your clients’ commitment to offering meaningful care options within tighter financial limits.
5. Justifying Health Benefits Investment
Proving ROI on benefits spend is more important than ever. Whole-of-workforce solutions show tangible returns by reducing absenteeism and presenteeism while enhancing employee well-being and retention.
These measurable outcomes make renewal conversations more compelling and strategic, positioning you as a trusted adviser.
6. Tax-Efficient Health Benefits: A Smarter Alternative to Salary Increases
Offering health benefits instead of salary increases can help businesses reduce their National Insurance (NI) costs while improving employee wellbeing. A salary increase incurs employer NI contributions, while health benefits are taxed differently, often leading to savings. Additionally, investing in employee health reduces absenteeism, improving productivity and lowering the costs associated with sick leave. By advising clients on tax-efficient benefits strategies, benefit advisers can help businesses maximise value, enhance employee satisfaction, and improve retention, making health benefits a financially smart and impactful alternative to traditional pay rises.
Data-Driven and Inclusive Strategies (by James Moran)
James expands on Duncan’s practical framework by emphasising the importance of data, early intervention, and viewing health holistically. These strategies help advisers provide more tailored, impactful recommendations to their clients.
1. Using Data for Targeted Benefits
We live in a data-driven world, and using insights can drive more effective recommendations. Cross-referencing client data with industry benchmarks allows you to find gaps and opportunities that inform high-impact solutions.
However, when using employee data, ensuring it is anonymised and secure is central to building trust. Employees need to feel confident that their personal health information is protected and confidential. Anonymised data not only safeguards privacy but also fosters transparency and trust, ensuring employees engage with the benefits programme wholeheartedly.
Aligning benefits with clients’ goals—and showing how their performance compares with peers—positions you as a strategic adviser who drives meaningful change.
2. Early Intervention: Prevention Over Cure
Preventive health benefits often cost less and deliver more value than reactive, treatment-based options.
Proactive Solutions: Digital health monitoring, primary care, and diagnostics reduce reliance on PMI schemes by addressing health concerns early.
Long-Term Planning: Work with clients to develop benefits strategies that go beyond the standard one-year renewal cycle. For example, access to diagnostics can help mitigate the impact of NHS wait times, which doubled between April 2020 and January 2024 (Nuffield Trust).
By focusing on early interception, you position yourself as a strategic partner who’s invested in their long-term success.
3. Viewing Health on a Total Population Basis
Too often, health benefits are designed around employees already covered by PMI, leaving the uninsured workforce overlooked. In a mid-sized, blue-collar-heavy firm with 200 PMI-covered employees and 800 uninsured workers, it’s the latter group that often drives absenteeism, low productivity, and attrition.
Offer clients modular solutions that address total population health. These benefits close access gaps, reduce business costs, and improve morale by showing employees that their health matters.
4. A Hybrid Approach to Rising PMI Costs
Taking a hybrid approach to client healthcare by introducing targeted or enhanced cover for high demand areas can not only mitigate the risk of increasing premiums but give an affordable option to the wider 'uninsured' workforce that bridges the gap and delivers cultural change.
Making Renewal Season a Success
This renewal season is not just a challenge—it’s an opportunity. As an adviser, you are uniquely positioned to guide your clients through complexities, transforming obstacles into opportunities for long-term impact. By using strategic approaches, data-driven insights, and innovative solutions, you can redefine what’s possible for your clients and their workforce.
Now is the time to own your expertise, lead with confidence, and demonstrate the value you bring. Renewal season is your stage to prove that thoughtful, forward-looking benefits design isn’t just about managing costs—it’s about creating a healthier, more engaged, and resilient workforce.
Let’s make this renewal season your most impactful yet. Take the lead, drive meaningful change, and claim your place as the trusted expert your clients rely on.
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