Slideshow 5 trends among international employee benefits

Published
  • September 24 2015, 1:14pm EDT

Overview

“Because of globalization, many issues related to business, health and society tend to be more and more common between geographies,” says Nicolas Michellod, a senior analyst with Celent’s insurance practice and co-author of a report that identified trends that are playing a major role in the employee benefits market. “Conditions that impact their employees’ health and productivity encourage companies to look for services beyond traditional benefits schemes.”

Here are the trends highlighted in the report:

1) Structural and regulatory changes

With the growing level of debts accumulated by governments, policymakers are trying to shift the financing of health care benefits from the public to the private sector.

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2) Convergence in employees’ health needs and employers’ demands

The growing demand for health care is a relevant indicator to understand potential opportunities for insurers and other firms active in the health care industry. In addition, we can observe commonalities in business and health issues as well as in conditions impacting employees’ health, productivity and employers’ cost.

3) Change in distribution structure

The distribution landscape is also experiencing changes that accentuate the speed at which the employee benefit market evolves.

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4) Innovation and digitization

Companies active in the health care industry and employee benefit insurers are investing in various elements of their value chain from selling, delivery and services to using more online advice.

5) Value chain fragmentation and competition

Globally, major differences exist in the employee benefits market. The value chain complexity is generally dependent on the degree of fragmentation and the level of competition.