Too many CEOs have been uninvolved in healthcare decisions for decades. After all, why should a CEO need to know about healthcare. He or she has a company to run. Often the CFO or HRO is delegated the responsibility for healthcare. If that CFO or HRA is an actual officer of the company and shareholder, they have a vested interest in good outcomes.
But often it is the CEO who is the primary visionary of the company and the one who is willing to try new ways to accomplish tasks.
With all of the changes in PPACA, CEOs need to become engaged in these decisions, and drive the change. Often the broker or consultant is not advising the company of the fines they will have to pay under the ACA, or the tax credits available.
Leaders who are engaged in this include folks like Jeff Mackey, CEO and Founder of Whole Foods. Through his involvement, he has saved the company millions of dollars on healthcare. CEOs with equal vision exist in smaller companies too. In order to achieve sustainable cost reduction, they need to start thinking out of the box.
At MediBid, we usually get prices that are 40% to 50% lower than the insurance discounts. This can save a company substantial money. Many employers save 40% on their healthcare costs.
Dr. Keith Smith explains in the video below something which most brokers, many consultants and very few CEOs know. You only need to watch about 53 seconds of the video below.