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Your 2025 Employee Benefits Audit Checklist

Posted on by Immix Group

by Lindsay Byrka, CFP® Vice President, Immix Group

When we first begin working with a new employer to review their benefits offering, it involves a bit of detective work. We need to uncover why you’re not fully satisfied with your benefits program, and why you’ve come to us for a second opinion.

Employers often sense that the plan needs adjustments but aren’t sure how to pinpoint the issues. Perhaps there are obvious areas where the plan falls short, but the solutions are unclear. And sometimes it’s as simple as not feeling the value is there, for the premiums that are being paid.

This is where Immix’s employee benefits audit comes in. Our goal is to uncover the answers to a range of key questions and to provide a clear, detailed review of your benefits program.

In this article, we’ll walk you through what it looks like to have an independent benefits advisor conduct a full audit of your employee benefits program.

Staff Satisfaction with the Program: Does your Team Feel it Meets their Needs?

We want you to love your plan. While this is one of Immix Group’s taglines, it’s a genuine sentiment! When we’re first speaking with an employer, we need to know:

  • Have you surveyed employees about their benefits? Do people like the plan? Are there common areas identified as “missing pieces”?
  • Is claiming easy or are they constantly running into problems?  
  • Do they understand what their plan covers?
  • Have you quantified the value of the plan as part of total compensation?

Conducting an employee benefits satisfaction survey can be eye-opening. It’s very common for this to reveal a lack of understanding as to the scope of available coverage. These “ghost benefits” – which look good on paper but go unused- are often the result of communication gaps. The value of a benefits plan is seriously eroded if people don’t understand what they have.

Employee benefits education sessions go a long way, and the Immix Group recommends everyone in our Client Community take advantage of our offer to run these important sessions every year or so!

Employee surveys allow employees to be heard, and to assist employers and advisors in fine-tuning coverage to truly meet people’s needs. Staff feedback is incorporated into Immix Group’s benefits audit and helps shape our recommendations.

Plan Design & Coverage Flexibility: Is the Plan Design Effective?

Benefits programs need to evolve—not just to keep pace with inflation, but to address changing needs, emerging trends, and new coverage areas in health and wellness. And, they need to evolve as your business changes.

Reviewing the details of the coverage is an integral part of Immix Group’s employee benefits audit process. We review contracts and booklets line by line and will address (using benchmarking information) areas we feel are outdated or fall short against industry and competitive norms. As well, we need to know:

  • What is the goal of the plan? Is it important to you that the program reflects the company’s values and philosophy? For example, do you embrace ‘one plan for all,’ or does it align more with your organization to implement benefits classes for different levels of staff?
  • When the program was put in place, what was the process in determining the plan design?
  • When was the plan design last reviewed in detail, and have changes been made to the coverage?
  • Is the coverage set up properly from a tax perspective (in particular, the Long-Term Disability)?
  • Are you offering employees flexibility and choice as part of the benefits offering?

Whether it’s addressing women’s health, fertility, or expanding access to mental health practitioners, the reality is that a robust benefits program today looks very different than it did a decade ago. Sometimes a simple tweak (expanding eligible paramedical practitioners, for example) goes a long way to improving employee satisfaction with the program. A detailed benchmarking report is a key element of Immix Group’s health benefits audit.

Claims Analysis: Understanding Exactly what your Employees are Claiming

Related to the program design is delving into the breakdown of claims. Immix Group emphasizes the importance of claims transparency—not just for financial reasons, but because ongoing analysis helps guide plan design and provides insight into the health needs and usage patterns of the staff.

Part of the Immix Group’s benefits audit report is an analysis of your historical claims experience, typically looking back 2-4 years. We break down:

  • Which benefits are being used and not used?
  • What takeaways can be made from the claiming patterns, and how does your group compare to industry averages?  
  • Are there areas where members are consistently maxing out their coverage?
  • What is the average cost per certificate year over year? Is it rising? How does this break out by category?
  • What are the key therapeutic categories and could these be strategically addressed?

Our benefits audit report lays out the information clearly, so you can gain a clear understanding of the claims composition for your group.

Financial Analysis of your Benefits Program

One of the most common reasons we are approached to conduct a benefits plan audit is to review the employee benefits plan pricing. A financial audit of your benefits program pricing by an independent benefits advisor can reveal whether you are overpaying for your benefits. This involves far more than simply requesting quotes from competing insurance carriers.

Our in-depth review of pricing seeks to determine all factors related to your bottom line:

  • Review of the cost adjustments over the past several years, analysing the annual rate adjustments per benefit line
  • Analysis of the rates for the pooled benefits, and whether they are accurate based on your demographics and plan design
  • Detailed analysis of the expense factors on your plan (target loss ratio, admin charges, advisor commissions)

All of the above leads to the answer of the key question: Are you overpaying for your benefits program?

Employee Benefits Program Marketing: Obtaining Quotes from Competitors

Based on the results of our benefits audit, we usually have a clear sense as to whether the pricing is fair. Regardless, we may suggest marketing the program with alternative insurance providers to see the rates they will offer.

As well, pricing is just one element of a plan, and moving carriers can be desired for other reasons such as obtaining certain plan design features, better tech offerings, or a better service and member engagement experience.

As independent benefits advisors, we have freedom to survey the market and obtain quotes from a wide range of providers.

Service & Advisory Support: Are you Getting the Support you Need?

Are you totally happy with both your advisor and your insurance provider? Advisor roles vary significantly; some stay behind the scenes and only appear at renewal time. In contrast, the Immix Group takes the opposite approach, and we encourage our Client Community to see us as their benefits partner.

One of the nicest things to hear from our Client Community is along the lines of ‘you make my life so much easier’. This is music to our ears, because our role extends far beyond presenting the benefits renewal report. We handle the daily administration of the program, as an extension of your HR team.

When it comes to the Immix Group’s benefits audit, we want to understand:

  • Are you receiving the support you need, from your advisor?
  • Are they making pricing, plan design and other relevant factors clear and understandable?
  • Is your insurance provider making it easy for employees to understand their plan, and adjudicate claims?
  • Are they using modern technology?

A benefits program should never be ‘set it and forget it’! We want you to have a flexible benefits plan, that can shift to meet your needs. The Immix Group strives to be your partner in guiding you through this process, with an eye on both sides- the financial aspect of the program as well as the member and plan administrator service experience.  

A Benefits Audit by an Independent Employee Benefits Advisor

The feeling that you are overpaying for benefits, that you are not getting value for the premiums, or that money is in some way falling through the cracks is something that keeps business owners awake at night.

While it’s simple to obtain a variety of quotes from competing carriers with a range of lower premium options, they don’t tell you much, other than the fact that another carrier is willing to buy your business with lower rates.

An Immix Group benefits audit goes far beyond basic plan marketing. As we said earlier, ‘We want you to love your plan!’ and we mean it. To us, this means every aspect from coverage that meets people’s needs, to a user-friendly claims experience, to transparency and fairness when it comes to the pricing of the program. If you’d like to have your own plan reviewed, we’re happy to help. Here’s what you can expect:

  • Understandable snapshot of your program structure; benefits, administrative and financial
  • Summary of key takeaways from plan members
  • Benchmarking of plan design
  • In depth review of claims usage
  • Historical rate review/ analysis of costs

Quick Self-Assessment:

Before diving into the full audit, here’s a simplified checklist to help you uncover potential issues right away. Use it as a strategic snapshot of what we examine during our full Benefits Audit:

Download the 2025 Benefits Audit Checklist

Key Takeaways:

  1. Survey staff and improve benefits communication. Surveys and education boost engagement and help tailor coverage to real needs.
  2. Update plan design for flexibility and relevance. Ensure employee benefits plan design reflects current health trends, offers flexibility, and reflects business goals and values.
  3. Analyze claims data to guide plan changes. Claims analysis reveals usage patterns and provides value insight as to beneficial changes.
  4. Review costs to ensure fair, transparent pricing. Pricing analysis that looks to historical rate adjustments and administrative costs helps answer the key question: ‘are we overpaying?”
  5. Ensure strong advisor and carrier support. Proactive, supportive advisors and modern service platforms ensure the smooth ongoing management of your program and a positive member experience.

Read More:

The ‘ghost benefits’ gap: How employers can ensure their offerings are used, understood by employees | Benefits Canada.com

What You Need to Know When Considering a Switch in Employee Benefits Providers – Latest News from Immix Group

One size fits all? Not when it comes to employee benefits. – Latest News from Immix Group

8 Reasons for Increases to your Employee Benefit Plan Premiums    – Latest News from Immix Group

Employee benefits: What you need to know about discounted group benefits pricing – Latest News from Immix Group

Your Benefits, Your Way: The “101” on Health and Wellness Spending Accounts

A Better Way to Do Benefits – Latest News from Immix Group

Mental Health Support: A Simple Guide to Providing Mental Health Coverage within your Employee Benefits Program – Latest News from Immix Group

Lindsay Byrka

Lindsay Byrka, CFP® BA, BEd

Vice President, Immix Group: An Employee Benefits Company
A Suite 450 – 888 Dunsmuir St. Vancouver V6C 3K4
O  604-688-5262 

E lindsay@immixgroup.ca
W www.immixgroup.ca

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A Better Way to Do Benefits

Posted on by Immix Group

A Better Way to Do Benefits: Independent, Canadian, and Client-First

As an independent, Canadian-owned firm, we’re free to build custom benefits solutions based solely on what’s right for your business.

 

by Lindsay Byrka | B.A., B.Ed, CFP® | Vice President

The Immix Group Employee Benefits is Canadian and Independent

One thing that sets the Immix Group apart—especially in today’s world of frequent mergers and acquisitions—is our independence! We likely don’t talk about it enough, but did you know the Immix Group is a 100% independent, Canadian-owned and operated company? While the name The Immix Group Employee Benefits Ltd. was established in 2010, our roots date back over four decades.

Unlike the majority of our competitors who operate as subsidiaries of large corporations (usually American), we understand what it’s like to run an SMB in Canada.  This means we can relate to the experience of our clients, many of whom are owner-operators. We know they need to focus on their own business. When it comes to their benefits, they need a partner they trust, with expertise, access to the market, and the capability to support the ongoing management of the program.

The Immix Group is an extension of your team

Many of our smaller clients don’t employ HR professionals—or if they do, they prefer those team members to focus on other human resource activities, not benefits administration.

Even for the larger firms we work with who employ robust HR teams, they may not have the bandwidth or desire to administer their benefits, or to delve into understand the intricacies of pricing, plan design elements or other related aspects of an employee benefits program.

So why is it advantageous for SMBs to partner with benefits advisors who also provide administration services?

Because benefits administration doesn’t need to be an added burden for internal teams. With the right support in place, questions get answered faster, errors are avoided, and employees get the help they need—without the runaround.

A small company with around 35 employees had their payroll administrator also managing the benefits plan. While they were an experienced and capable administrator with deep knowledge of the company’s industry, employee benefits were not their area of expertise. Despite basic training on the insurer’s plan admin site, they regularly ran into confusing and complex situations—late applicants, dependent eligibility, billing confusion—and didn’t always know how to proceed.

While the company had an advisor, their role was limited to higher-level items (renewals, plan design changes, escalated situations) rather than the day-to-day. Employees were told to call 1-800 numbers for help, which left everyone frustrated. When the Immix Group came on board, this relieved them of this aspect of their week, freeing them up to focus on other higher-value activities to support the firm.

At Immix Group, we don’t expect your internal team to become benefits experts. That’s our job.

At Immix Group, we handle the daily benefits admin—so your team doesn’t have to. We resolve issues quickly, support employees directly, and keep your plan running smoothly.

For those in our Client Community, if you’re not already taking advantage of the Immix Group’s ability to handle your benefits administration, please reach out! We administer benefits for about 75% of those in our Client Community, but we’d love to see that number reach 100%. Providing daily benefits administration is included when you work with the advisors at the Immix Group; we do not charge additional third-party admin fees.

When it comes to your benefits program, one size does not fit all.

Expertise when it comes to benefits administration is just one part of the equation. Our process most often begins with collaborating with your team to design a program that meets the unique needs of your group of employees.

A mini case study: One of our long-time clients is comprised of nearly 100% women employees. They wanted to address the needs of their staff in a meaningful way, acknowledging that women have unique life experiences and needs. We collaborated with their team- starting with an employee survey- to implement benefits that included enhanced fertility and family planning coverage, additional mental health support (higher practitioner limits, enhanced EFAP with CBT), and a generous flexible spending account open to taxable benefits such as childcare, fitness and kids’ sports fees. On top of this, a robust virtual healthcare program to ensure the many busy moms in their employee base had access to virtual healthcare visits for themselves and their family members, as needed.

Whether it’s getting the right cost sharing formula in place, executive disability coverage, or robust flex spending, fertility and family planning benefits, a program can be tailored to meet your desired outcomes. We believe your benefits program should reflect the values and philosophy of your company, and that in doing so, it enhances culture.

Choosing the right provider for your programs enhances the employee experience

The Immix Group has longstanding and ever-expanding relationships with a myriad of insurance and investment providers. Because we are free to use the full range of industry suppliers, both large and small, this gives us flexibility and freedom to get it right.  

Because the Immix Group is independent, we have the freedom to share the details

When it comes to their group benefits plan, one concern most Canadian business owners have is over-paying for their benefits. There is the perception that insurance is often ‘money down the drain’. This is why transparency matters so much to us; we believe that you should understand where your benefits dollars are going, and the breakdown of premiums and claims.

So how can small and medium-sized businesses ensure they are not overpaying for benefits? By working with providers who are transparent when it comes to the financial details. It doesn’t have to be complicated, rather, it should be clear. We believe that employers should be able to see the financial elements such as where the claims dollars are directed and expenses on the program.

In contrast to how the Immix Group manages our pools, many other providers do not share details.

Despite some progress in the industry with a general movement towards greater transparency, many benefit providers still withhold claims data—especially in pools or association plans. These often come with preset plan designs and pricing that adjusts based on the performance of the overall group, not your individual company. In these cases, you typically can’t customize your plan or access your own claims breakdown.

Without that transparency, it’s hard to make informed decisions. Worse, you may face cost increases that don’t reflect your company’s actual usage.

If you’d like the Immix Group to take a second look at your benefits plan, please reach out! We love to hear from you.

Have questions or ready to take the next step?
Connect with our team today — we’d love to hear from you.

Key Takeaways 

Independent and Canadian-Owned: The Immix Group is 100% Canadian and independently owned, allowing us to prioritize client needs.

Custom-Tailored Plan Design: Unlike many providers, Immix can design flexible benefits programs—including pricing, plan structure, and rate guarantees—tailored to the unique needs of small and medium-sized businesses.

Hands-On Benefits Administration: Immix supports day-to-day benefits administration for clients, helping reduce internal workload, resolve issues quickly, and improve the employee experience.

Transparency for Pricing and Claims Data: The Immix Group believes in full financial transparency, ensuring clients understand where their benefits dollars go—unlike many pooled or association plans that limit access to claims data.

An Extension of your Team: With a high-touch service model and expert advice, Immix acts as an extension of your team, building benefits programs that reflect your company’s values and support your workforce.

FAQ’s

Being independent means the advisor is not tied to a specific insurer or provider. This means access to a broad range of suppliers, and the ability to fully customized benefits programs for our clients.

Some do, the Immix Group does not, and includes ongoing daily benefits administration as part of our high touch service protocol.

Lack of claims data limits your ability to make informed decisions about your benefits plan. It can also result in unfair rate increases. Immix ensures full transparency so you can evaluate performance and adjust your plan accordingly.

Read More:

One size fits all? Not when it comes to employee benefits. – Latest News from Immix Group

What You Need to Know When Considering a Switch in Employee Benefits Providers – Latest News from Immix Group

Understanding Cost-Sharing in Employee Benefits – Latest News from Immix Group

A Proven Strategy for Containing Employee Benefit Plan Costs – Latest News from Immix Group

The value of employee benefits inside a broker-managed benefits pool, especially during times of uncertainty – Latest News from Immix Group

At Immix, our role goes far beyond the pricing of your program. – Latest News from Immix Group

The major impact of small businesses in Canada: Small Business, Benefits and COVID19 – Latest News from Immix Group

Top 8 FAQs for Business Owners when Implementing an Employee Benefits Plan – Latest News from Immix Group

Immix Pool – Working Together for a Better Benefits Plan | Immix Group

 

Lindsay Byrka

Lindsay Byrka, CFP® BA, BEd

Vice President, Immix Group: An Employee Benefits Company
A Suite 450 – 888 Dunsmuir St. Vancouver V6C 3K4
O  604-688-5262 

E lindsay@immixgroup.ca
W www.immixgroup.ca

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Your Benefits, Your Way: The “101” on Health & Wellness Spending Accounts

Posted on by Immix Group

by Lindsay Byrka | B.A., B.Ed, CFP | Vice President

If you’re a Canadian business owner looking to offer flexible, tax-effective coverage that empowers your team, an HSA could be the missing piece of your benefits offering.

In this guide, we’ll break down what an HSA is, how it works, and why businesses like yours are making it a staple in their employee benefits package.

Health and Wellness Spending Accounts are Increasing in Popularity

Most people have heard of Health Spending Accounts, which have become increasingly popular over the past decade or so, with around 40% of plans offering some form of HSA.

This is in response to multiple generations in the Canadian workforce and their diverse needs, the increasing desire for flexibility and choice, and the simplicity of offering this predictable-cost benefit.

Most Canadian carriers now facilitate not only Health Spending Accounts (non-taxable, for items on the CRA’s Eligible Medical Expense listing) but also Wellness or Lifestyle Spending Accounts (taxable items that fall outside the CRA listing). In addition, many specialty providers offer robust, low-cost, user-friendly platforms for Health and Wellness Spending Accounts with many customizations available.

What is a Health Spending Account? 

A Health Spending Account is set up by an Employer and provides a pre-determined annual allocation to an Employee, to be used for CRA-eligible medical expenses. Employees have the flexibility to choose which expenses are submitted through the Health Spending Account. Employees receive reimbursement for eligible claims on a tax-free basis. As the Employee uses their account, their available balance reduces.

Employers pay for the amount of the expense, plus an administrative charge for adjudication, and any applicable taxes on the admin fee. The total expense is tax-deductible to the Employer. To be CRA-compliant, Health Spending Accounts need to be facilitated via a third-party provider.

What is a Wellness Spending Account (WSA)?

Also known as a Lifestyle Spending Account (LSA), the primary difference from a Health Spending Account is WSAs/ LSAs are for taxable expenses (i.e. those not found under the CRA listing). The funding and cost for the Employers are the same as with a HSA, and Employers can also deduct the expense. The main difference is that expenses reimbursed through a Wellness/ Lifestyle Spending Account are a taxable benefit to Employees.

What is a Flexible Spending Account?

This simply refers to an account where the employee has both HSA and WSA reimbursement available. Typically, they can choose what percentage of the total allocation falls into each of the buckets (taxable or non-taxable) as described.

health spending account vs. wellness spending account Canada chart by Immix Group

Collectively, many people refer to these accounts as “Health Spending Accounts” or “Health Care Spending Accounts” or by the American term “Health Savings Accounts,” although they may offer the ability to remit expenses under each tax bucket.

The Benefits: Why More Employers are Implementing Health Spending Accounts

From our perspective as benefits advisors, the answer to this is twofold: employees love Health Spending Accounts for the flexibility and choice, and employers find them cost-effective, simple and practical. The benefits are vast:

  • Provides employees with choice and flexibility as to how benefit dollars are spent.
  • Supplements insured benefits program reimbursement for example topping up an insured benefit item where a dollar limit has been reached.
  • Cost control for employers; there is an upper limit per year and a defined admin fee, so no surprises!
  • Ability to highly customize including with classes of coverage with varying levels of allocation.
  • High value to invest in wellness programs, with research indicating 300-400% ROI.
  • Tax advantaged as a fully deductible expense for employers.

What sorts of items can be covered through a Health Spending Account?

HSAs can cover a wide range of expenses as determined by the CRA Eligible Medical Expense Listing similar to traditional health benefits, including:

  • Dental treatments and orthodontics
  • Prescription drugs and medical devices
  • Paramedical services like massage therapy, physiotherapy, and acupuncture
  • Vision care, including glasses and laser eye surgery
  • Medical equipment, supplies or surgeries
  • Mental health practitioners
  • Insurance premiums, deductibles and coinsurance from insured plans

Wellness Spending Accounts can cover nearly anything the employer desires! Common expenses include:

  • Gym memberships, fitness classes
  • Activity passes such as ski passes
  • Children’s sports
  • Childcare expenses
  • Vitamins and supplements
  • Fitness equipment
  • Contributions to RRSPs
  • Medical practitioners excluded by the CRA such as alternative health practitioners

Health Spending Accounts vs. Traditional Insured Benefits

At the Immix Group, we firmly believe that Health & Wellness Spending Accounts should be considered as a supplement to a more robust insurance program that offers coverage for prescription drugs, emergency out-of-country travel, dental, and other more catastrophic insurance coverage such as life, critical illness and disability.

With the defined dollar limit provided via a Health Spending Account, it works best as a supplement to provide flexibility and choice to a base insurance plan. In short:

Traditional Insured Plans:

  • Pre-defined coverage with limits on certain services but typically covers catastrophic expenses at first dollar.
  • Best for drugs, travel, disability, and items where true “insurance” is needed to guard against the unknown.

Health & Wellness Spending Accounts:

  • Top-up insured programs where limits are in place, or cover un-insured items.
  • Flexible spending based on individual needs.
  • Allow reimbursement for wellness and lifestyle expenses not included through traditional insured benefits programs.

Key Features: With a Health Spending Account you can:

  • Implement classes with different allocations available for different employee classifications.
  • Allow one-year carry forward of unused balances (one year only, per CRA).
  • Implement coinsurance (i.e. 50% reimbursement up to a total limit).
  • Define the items covered within a Wellness Spending Account.
  • Implement dedicated accounts to target specific areas (i.e. PPE account, Mental Health account, Childcare account).
  • Easily pull reporting for tax purposes.
  • Make changes to the allocation you provide at the start of each year.

A Predictable, Low-Cost Benefit for Employers

One of the main reasons employers are drawn to Health Spending Accounts is the cost predictability and transparency.  

  • Low administration cost, usually ranging from 3-10% on submitted expenses (plus applicable taxes on the admin charge only).
  • Ability to change the offering each year, to adjust to budget constraints.
  • Ability to implement ‘use it or lose’ rather than the ability to carry forward unused balances in order to have even greater cost predictability in a given period.

On average, employees typically spend around 60-70% of their allocated amount, making this a good estimate for employers looking to budget. Ultimately, the ‘worst case scenario’ (or best case scenario, depending on how you think about it!) is that all employees use 100% of their allocation.

A Hidden Perk: The Tax Advantage

Health & Wellness Spending Accounts aren’t just flexible — they’re smart.

  • For Employers: Contributions are 100% tax-deductible
  • For Employees: Reimbursements are tax-free for Health Spending Accounts

Although Wellness Spending Account reimbursements are a taxable benefit, most employees still see this as a huge perk as the cost of paying the tax on an expense is of course a small amount relative to paying out-of-pocket for the same item. For employers, providing funds via an HSA is less costly than the equivalent in salary.

HSA vs WSA

What kind of Employer should implement a Health Spending Account?

The short answer? Every size of business, even a one-person incorporated company. While we do believe in providing a base insurance program to ensure proper protection against major expenses, there is a place for a Health Spending Account whether you are a two-person tech start-up in Vancouver British Columbia or a larger, established employer in Ontario.

Implementing a Health Spending Account can be a game-changer for:

  • Small businesses that want flexible coverage and don’t yet have the budget for a traditional insured plan.
  • Growing teams looking to offer competitive benefits.
  • Companies with diverse needs where one-size-fits-all plans don’t cut it.
  • Companies that want to customize their offering through targeted Health Spending Accounts.

 

How to Set Up a Health and Wellness Spending Account

First, you can set up a Health Spending Account with either a dedicated specialty provider (such as myHSA) or as an add-on to your program with your insured benefits provider.  

An advantage of implementing a program with your insurance provider (for example Manulife, Sunlife, Pacific Blue Cross) is the ability to more seamlessly direct unpaid claim balances towards the Health Spending Account. However, insurance providers tend to be more costly and less flexible with account parameters.

Our preference is to work with a dedicated HSA provider.

HSA 9

Getting started is easier than you might think.

At the Immix Group, we help businesses build benefits plans that are clear, custom, and transparent — and that includes HSAs.

We help you to:

  • Set a Budget: Choose how much you’ll contribute per employee on an annual basis.
  • Establish Rules: Decide what expenses are eligible, and features such as whether to include the ability to carry forward unused balances, whether to allow employees to include expenses for dependents etc.
  • Communicate Clearly: Educate your team on how to use their HSA effectively, in conjunction with any other benefits programs in place.
  • Adjust as Need: Employees will submit expenses and be reimbursed, thereby reducing their available balance. The plan sponsor will have the ability to review the overall usage and make any changes to allocations or customizations, as needed (typically after the plan has been in place for one year).

 

Is an HSA Right for Your Business? Let’s Chat!

If you’re ready to explore how a Health & Wellness Spending Account can help you control costs while giving your team greater flexibility, we’re here to guide you. Reach out to us at info@immixgroup.ca or (604) 688-5559  – we love to hear from you!

Top 10 FAQs

An HSA is an employer-funded account that allows employees to be reimbursed for CRA-eligible medical expenses on a tax-free basis.

Employers allocate a set amount per year to employees, who then use it to cover eligible health expenses. Employers only pay for actual claims submitted, plus administrative fees.

A WSA (or LSA) covers taxable expenses such as gym memberships and wellness programs. Unlike an HSA, reimbursements are considered taxable income for employees.

While possible, HSAs are best used as a supplement to traditional benefits to provide more flexibility and customization.

Minimum amounts typically start at $250 per employee, with executive-level accounts often reaching tens of thousands per year.

Yes, all employer contributions to an HSA are 100% tax-deductible, making them a cost-effective way to provide benefits.

Employers can allow a one-year carry forward of unused balances, but beyond that, the funds expire as per CRA rules.

Any incorporated business can set up an HSA, including small businesses, self-employed individuals, and large companies. An HSA can be set up for just one person, but the business must be incorporated, and the individual must receive T4 income. Shareholders typically cannot participate.

Eligible expenses include dental treatments, prescription drugs, paramedical services, vision care, and medical equipment, among others.

Employers can set up an HSA through an insured benefits provider or a specialty provider, customizing rules and contribution levels as needed.

This restriction is due to compliance with CRA regulations, which require allocations to be determined in advance.

Key Takeaways

  1. HSAs Offer Flexibility & Choice
    Employees can use HSAs for a wide range of medical expenses based on their individual needs, making them more adaptable than traditional one-size-fits-all benefits plans.
  2. Cost Control & Predictability for Employers
    Employers can set defined contribution limits, ensuring there are no surprise costs. The ability to adjust annual allocations or enforce a “use-it-or-lose-it” policy adds further financial control.
  3. HSAs Are a Tax-Effective Way to Provide Benefits
    Contributions are fully tax-deductible for employers, and reimbursements are tax-free for employees—making HSAs a more cost-efficient alternative to salary increases.
  4. WSAs Can Boost Employee Engagement & Wellness
    By covering wellness-related expenses like fitness memberships, mental health services, and even childcare, WSAs help promote employee well-being and work-life balance.
  5. Combining HSAs & WSAs Maximizes Employee Satisfaction
    Offering both allows employees to balance healthcare needs with lifestyle benefits, increasing overall satisfaction and retention. Employers can customize coverage to align with company culture.
  6. Ideal for Small Businesses & Large Enterprises Alike
    HSAs and WSAs are scalable solutions, benefiting businesses of all sizes—from startups looking for an alternative to traditional insurance to large corporations adding customization to their benefits package.
  7. Implementation is Simple with the Right Provider
    Employers can integrate an HSA/WSA into their benefits program seamlessly through an insurer or third-party provider, with many offering user-friendly digital platforms for easy claims processing. Using a third party ensures compliance with tax regulations, simplifies administration, and helps maintain proper documentation for CRA purposes.

Read more

 

Lindsay Byrka

Lindsay Byrka, CFP® BA, BEd

Vice President, Immix Group: An Employee Benefits Company
A Suite 450 – 888 Dunsmuir St. Vancouver V6C 3K4
O  604-688-5262 

E lindsay@immixgroup.ca
W www.immixgroup.ca

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Key RRSP Tips for Employees at Each Career Stage

Posted on by Immix Group

It’s RRSP season in the world of benefits and financial services because as most of you know, the RRSP deadline is coming up!

As a reminder, contributions to RRSPs made in the first 60 days of the year can be applied to the previous year. In plain language, Canadians can reduce their taxable income for 2024 with RRSP contributions up to the RRSP deadline of March 3rd, 2025.

With this in mind, we wanted to provide some simple tips and suggestions for financial planning for employees at three stages in their career, and specifically, how these could be applied within a group savings plan.  

 

Early career- just start saving!

For those in the early stages of their working life, the most important thing is to simply start saving, even if one can only manage a very small contribution.

We often recommend setting up two basic savings accounts- one designated as an ‘emergency/ opportunity’ account, and second, an investment account (Registered Retirement Savings Plan) to begin investing for the very long term.

 

Emergency/ Opportunity Account

A Tax-Free Savings Account works well for this purpose, especially something like a high-interest savings account which will grow steadily-rather than fluctuate- in case you need to withdraw the funds for an unexpected expense. This is ideal for unexpected situations (a vehicle repair) or opportunities (a special vacation) where you would not want to draw from long-term registered savings accounts or use a credit card.

 

Retirement Investment Account

Along with this, and when possible, we recommend joining the Employer Group Savings Plan. Of course, within a Group RRSP, it’s optimal to do at least the minimum contribution to draw the full employer match available, but if that’s not financially possible, it’s beneficial to deposit even the smallest amounts, which will benefit from long-term compound interest. 

rrsp-tips compounding interest

If your younger employees are not eager to join the Group RRSP, it can be worthwhile to show them some of the key benefits such as the impact of long-term growth, and the tax advantages of a registered deposit. For most, a pre-tax payroll deduction is something that actually goes unnoticed!

 

Mid-career; it’s time to serious about planning, from a holistic perspective

For those who are more established in their careers and whose incomes (and families) may be growing, it’s time to really assess your short-, mid- and long-term goals in order to ensure you are on track.

Expenses are often very high at this point, and being strategic with tax planning, investing and insurance is paramount in order to set you up for retirement, even though it may be 2-3 decades away.

If it’s not something you’ve done already, this is the time to run projections in order to learn the specific steps and financial requirements needed to achieve your goals. Additionally, people in this stage of life often require greater amounts of insurance (life, critical illness and disability insurance, for example) to protect their families and assets.

Engaging with a qualified financial planner is the best way to ensure you are getting appropriate advice, but these days, there is also a plethora of information available online. Specifically, your benefits and group savings plan providers offer great education resource hubs.

When it comes to your group savings plan, if you’re not already doing so, this is the time to ensure you are maximizing the employer match. If you have taken the ‘set it and forget it’ approach with your investments, assessing not only your contribution amount in dollars but also your investment choice is essential.

 

Approaching retirement; review and refine

As you approach retirement, it’s important to have a clear sense of your financial position, as well as any insurance needs you may have. The emphasis during this phase is on finetuning.

Firstly, with regards to insurance, it’s important to be clear as to whether you will have health and dental coverage in retirement via your employer, or how you can obtain an individual plan, if there is no employer coverage after you are no longer actively at work. Additionally, insurance plays an important role in estate planning; speaking with a qualified advisor to assess your needs in this area is recommended.

When it comes to income in retirement, ideally, if you have taken proper steps to plan and save along the way, you will not find yourself playing catch up in the last years of your working life. In the last decade prior to retirement, it is time to really look in depth at the various sources of retirement income (CPP, OAS, RRSPs etc) and understand the numbers. What will you receive, and when? Do you need to make modifications to your goals or timelines? Do you have plans to change your residence, and how could a home sale factor into your planning?  At this point, there is still time to make the necessary tweaks or implement revised strategies. It goes without saying, if you’re not taking advantage of an employer RRSP in full, this should be a priority.  

 

Employers- what role can you play?

Remind your staff to pay attention to the amount they’re contributing, where the funds are allocated, and whether this aligns with their goals.

Many employees overlook naming a beneficiary for their registered accounts; this is important as the funds will transfer directly to this person in the event of the member’s passing.

Encourage staff to seek customized advice, that considers their unique situation and goals.  If it is intimidating to reach out to a person, please keep in mind that support is accessible in various ways. Depending on their comfort level and desire for interaction, individuals can choose to access support online, by phone, email or in-person.

 

Why should Employers offer a Group Savings Plan?

If you’re not already offering your team a Group Savings Plan, it’s time to get started! There are so many reasons for Employers to implement an employee RRSP or DPSP. We have written an entire article on this, but here ere are a few key advantages:

  • Tax-advantaged way to reward employees financially
  • Provide a means to save for retirement
  • Provide financial literacy support
  • Reduce employee stress related to finances
  • Retain qualified staff
  • Be a competitive employer in a difficult hiring environment

If you’d like to get started, please reach out to the experts at the Immix Group via email at info@immixgroup.ca or by phone at (604) 688-5559!

Key Takeaways

  • Start Early, Even Small Contributions Matter – Young employees should prioritize starting their savings journey, even with small amounts. Utilizing both a Tax-Free Savings Account (TFSA) for emergencies and a Group RRSP for long-term investments can establish good financial habits.
  • Maximize Employer Contributions – Employees should take full advantage of their employer’s Group RRSP matching contributions. Not doing so leaves money on the table.
  • Mid-Career Planning is Crucial – As employees advance in their careers and face growing financial responsibilities, they must strategically plan for short-, mid-, and long-term financial goals, optimize tax strategies, and review their insurance needs.
  • Pre-Retirement Adjustments are Key – Those nearing retirement should closely analyze their expected income sources (CPP, OAS, RRSPs etc) and expenses, ensuring they are financially prepared. Reviewing insurance coverage and estate planning is equally important.
  • Employers Play a Vital Role in Financial Wellness – Companies should encourage employees to actively manage their RRSPs, name beneficiaries, and seek professional advice. Offering a Group Savings Plan enhances financial literacy, reduces stress, and helps attract and retain talent.

Top 5 FAQs

Even small contributions benefit from long-term compound interest, significantly growing over time. Plus, RRSP contributions lower your taxable income, providing immediate financial benefits.

A Group RRSP often comes with employer matching contributions, which can significantly boost your retirement savings. Additionally, contributions are deducted pre-tax from payroll, making saving effortless.

Ideally, contribute enough to maximize your employer’s match. Beyond that, aim for a contribution that aligns with your long-term retirement goals, balancing it with other financial responsibilities.

Contributions reduce your taxable income, which can lower your tax bill or increase your tax refund. Additionally, investment growth inside an RRSP is tax-deferred until withdrawal, helping your money grow faster.

A Group RRSP helps employees save efficiently for retirement while reducing financial stress. Employers benefit by attracting and retaining top talent, offering financial wellness support, and gaining tax advantages.

Additional Links:

Financial Well-being: Valuable Resources through our Partnership with Ciccone McKay Financial Group

Three Reasons to Implement a Group Savings Plan

Add to your Recruitment and Retention Toolkit with a Group Savings Plan

3 Action Steps Employers Can Take to Reduce Employee Financial Stress and Increase Financial Literacy

This might just be the right time for you to implement an employee group savings plan – here’s why and how

Lindsay Byrka

Lindsay Byrka, CFP® BA, BEd

Vice President, Immix Group: An Employee Benefits Company
A Suite 450 – 888 Dunsmuir St. Vancouver V6C 3K4
O  604-688-5262 

E lindsay@immixgroup.ca
W www.immixgroup.ca

Latest Insights

Key Conversations in Benefits 2024

Posted on by Immix Group

Key Conversations in Benefits 2024

Once again, this year, we have compiled the top conversations in benefits, from our perspective as benefits advisors. These are the topics we heard about the most in the news, from our supplier partners, and that members of our Client Community inquired about most often.

Each year, our Key Conversations in Benefits article proves to be very popular! This year, we will cover:

  1. Inflation and Rising Claim Costs
  2. Health & Wellness Spending Accounts
  3. Women’s Health
  4. Changes to Government Coverage
  5. Pharmacogenetics
  6. Mental Health Supports
  7. Financial Literacy
 

Inflation is Still Impacting Benefit Costs

While we saw interest rates decrease in 2024 multiple times, and inflation supposedly contained, benefits program renewals in 2024 still felt the impacts of increased claims due to rising costs.

The plan renewals in 2024 saw pricing based on claims experience partially from 2024, 2023, 2022, and in some cases 2021. In analyzing experience data, we saw rising costs for claims across practitioners (physiotherapy, massage, chiropractic, equipment and most notably dental claims due to fee guide increases).  Compounding this, we saw the Reasonable & Customary limits (the maximum amount reimbursed per visit) increased by insurance providers, a measure intended to cover more of the true cost of the claim. The impact of this is higher claims in dollars for a group, even if the number of visits remained the same.

The result of increased claims is often increased premiums, although, of course, this depends on the break-even mark for the insurer.

The good news? We are seeing a tapering off – at least within our block of business- of rising costs. We are hopeful that 2025 plan renewals will see more typical adjustments.

 

 

Health & Wellness Spending Accounts

Inquiries about flexible Health & Wellness Spending Accounts were more frequent than ever in 2024! The popularity of these plans is not surprising, and many employees have come to see this as a typical inclusion under an employee benefits program.

A flex spending account is a great way to address generational differences, to offer ‘more’ to certain people, or even to provide customized coverage for a particular category of expenses. For those with just a couple of employees (or, incorporated individuals) a Health Spending Account is also a great option.

For Employers, the fact that the cost is predictable is one of the most desirable features of a Health Spending Account. Because you are pre-defining the allowable total annual spending per employee, you’re able to offer flexibility and choice, but at a maximum known cost for the business.

The good news for employers is that the implementation and administration of these plans are incredibly simple, and administrative costs have remained low.

We will be putting out a “Health & Wellness Spending Account 101” in 2025 to answer all your key questions, but in the meantime, please see our website for more information. 

 

 

Women’s Health at the Forefront of Conversation

This was a topic brought up not only by our clients (we had many inquiries about fertility coverage, for example) but also the subject matter at many industry seminars this year.

In particular, the Immix Group had the opportunity to attend an event where we heard directly from those involved in the “HER” study or the “Health and Economics Research on Midlife Women in British Columbia.” The HER-BC Report – Women’s Health Research Institute

The statistics this study revealed are actually quite shocking, revealing the impacts on health and well-being for mid-life women in perimenopause and menopause. In particular, the economic impacts that were highlighted were very eye-opening to many in the room; women turning down promotions, stepping down to a lower position or leaving the workforce altogether.

The takeaways from our perspective in the benefits world? We can play a role in ensuring benefit programs offer effective support for women, in particular, mid-life women. Solutions were highlighted, including the fact that Cognitive Behavioural Therapy has been found to be a leading treatment for women experiencing the symptoms of perimenopause and menopause. Things such as CBT, hormone replacement therapy and even flexibility when it comes to the work environment, hours and required dress while on the job all play a role.

Adjacent to this are conversations surrounding fertility coverage and hormone replacement therapy, which we will detail below.

 

 

Shifting Costs back to the Government

From our perspective, potentially the most impactful conversation of 2024 was the announcement of funding from the federal government to cover diabetes medications and prescription birth control through provincial medical plans. As BC already made the move to cover birth control back in 2023, in BC these funds will be used for hormone replacement therapy medications. Additionally, BC will cover one round of In-Vitro Fertilization (IVP).

B.C. pharmacare deal will cover diabetes meds, hormone therapy | CBC News

Publicly Funded IVF Program – Province of British Columbia

This could be significant for employers; depending on your demographics and drug spending, the result could be a notable reduction in the cost of drug claims running through the Employer’s benefit program. 

We are uncertain at this point as to the drugs that will be covered; as with the April 2023 implementation of government coverage for birth control, we expect the listing of covered medications to be robust, but not 100%.

Lastly, as we’re on the topic of government coverage, the Canadian Dental Care Plan (CDCP) is now in its second year. The program received a lot of media attention due to the initial small percentage of dental offices who signed up to participate in this plan, citing concerns relating to their ability to be reimbursed quickly and fairly. With some changes- notably, to allow for direct billing to the provider SunLife- participation reached over 75% late in 2024.

 

 

Is Personalized Medicine the Future of Medicine?

It’s been many years now since pharmacogenetics first came up in employee benefits conversations. If you’re unfamiliar with the term, in short, pharmacogenetics refers to how our genes affect the way our bodies respond to medications.

According to a popular provider, Pillcheck, this “provides insights about each patient’s predicted response to various medications, enabling you to narrow the potential treatments to those most likely to be safe, tolerable, and effective for the individual.”

Personalized medicine simply means choosing or avoiding certain medications, based on your own genetic profile, with the goal of finding those that will provide you with the desired effect. What does this mean and why are benefits providers interested in this? 

We know that people often need to try multiple medications before landing on one that works well for them; this is especially true for certain drug categories, for example, medications used to treat mental health conditions. In getting straight to the drug that is most likely to work the best, there is less waste of; time, money and medications, and most importantly, improved health outcomes.

For insurance providers and in turn, employers who ultimately bear the cost of claims, covering the cost of this testing makes financial sense.

Manulife Financial has an excellent overview online, where they state: “Over the past 2 years, we ran a Personalized Medicine pilot program. After getting their results, 44% of people in the program changed their medication or dosage. These changes led to better health outcomes.”

Coverage under a benefits program is available but not common yet. Please note in most instances pharmacogenetic testing could be claimed via a Health Spending Account.

 

 

Mental Health Support Remains at the Forefront

Offering appropriate support for mental wellbeing continues to be a huge conversation – in fact, it’s woven through most other areas whether it’s drug costs/ pharmacogenetics, women’s health, financial literacy, benefits plan design, or disability claims.

We continue to see claims for mental health practitioners increase. For example, within our Pacific Blue Cross block of business, we have seen the percentage of total paramedical practitioner claims under the “Psychology/ Clinical Counsellors” benefit increase as follows:

  • 2016: 5.86%
  • 2018: 5.7%
  • 2020: 9.29%
  • 2022: 9.5%
  • 2024: 11.5%

What we thought of as a ‘Covid phenomenon’ is now the routine inclusion of these practitioners in the top-five. We are encouraged to see providers expand their listing of covered practitioners in order to increase access for members, both from an availability standpoint and financially speaking.

Additionally, many benefits plan sponsors are carving out practitioner coverage in this area, offering more dollars towards mental health practitioners, acknowledging that this area not only costs more per-visit, but usually requires ongoing care, in contrast to other practitioners which may be used on a more acute basis.

We have written about how to develop a comprehensive mental health support program that utilizes an Employee & Family Assistance Program, insured coverage and flexible spending coverage, and additionally, an employer-sponsored group savings plan.

 

 

Financial Literacy, Financial Resilience and the Employer’s Role

As mentioned above, mental well-being is woven through many areas of the benefits world. Why is this? Quite simply, Employees continue to report “finances” as their number one source of stress. Explore our many articles on this topic; as we write, Employers can play a pivotal role in assisting employees in this area.

Each November, we highlight the Government of Canada’s theme for Financial Literacy Month. Fittingly, this year it was “Money on your Mind; Talk about It” acknowledging the stress, shame and embarrassment that can come with financial difficulties. Talking money builds financial confidence and leads to better outcomes; their stated goals are to “strengthen financial literacy and build financial resilience.”

This is a frequent topic of conversation for us, with Employers seeking to implement or expand Group Savings Plans, organize education sessions, and take advantage of our partnership with our sister company, Ciccone McKay Financial Group in order to provide employees with one-on-one financial planning assistance.  

Related to this, Employers reached out more than ever in 2024 to inquire about cost-sharing of employee benefits premiums. We continue to assist with making fair and logical changes that address the taxation of benefits while falling within the 50% rule followed by insurers.

 

 

That’s a Wrap for 2024!

It’s clear 2024 has brought several important shifts in the employee benefits landscape, driven by rising costs, evolving wellness needs, and growing demands for flexibility. From the ongoing impact of inflation on claims to the increasing focus on mental health support, financial literacy, and personalized medicine, benefits programs are becoming more personalized and comprehensive.

With that being said, we’re eager to see which trends will continue to shape the benefits landscape and what new developments 2025 has in store for us. In particular, we will be keeping an eye on drugs coming off patent, and the expected impact of the government taking on new medications, most notably, for diabetes.

Be sure to keep up with our monthly articles to stay updated throughout the year on the latest trends, insights, and conversations for all things employee benefits.

If you’d like to review your employee benefits program and ensure it’s in line with the latest trends and offerings, reach out today to us at info@immixgroup.ca or (604) 688-5559, as always – we love to hear from you!

Top 6 FAQs About Key Conversations in Benefits 2024

Health & Wellness Spending Accounts offer employees flexibility to address unique needs, generational differences, and specific expenses. Employers benefit from predictable costs since annual spending limits are pre-defined. These accounts are simple to implement, have low administrative costs, and continue to grow in popularity across organizations.

Benefits programs can provide support for mid-life women through coverage for treatments like Cognitive Behavioural Therapy (CBT), hormone replacement therapy, and flexibility in work environments. With research like the HER-BC Report bringing attention to the economic impacts of perimenopause and menopause, employers are recognizing the importance of tailoring benefits to meet these needs.

Pharmacogenetics examines how an individual’s genetic profile affects their response to medications. By identifying the medications most likely to work, it reduces trial-and-error, improves health outcomes, and saves costs for employers and insurers. Coverage for pharmacogenetic testing is not yet common but can often be claimed through Health Spending Accounts.

Mental health claims have steadily increased, with practitioners now ranking among the top-five for paramedical claims. Employers are carving out larger mental health coverage amounts and exploring comprehensive mental health programs that include Employee & Family Assistance Programs (EFAP), insured coverage, and flexible spending options.

Financial stress continues to be the number one source of stress for employees. Employers can play a pivotal role by offering group savings plans, organizing financial education sessions, and partnering with providers like Ciccone McKay Financial Group to provide one-on-one financial planning support. Additionally, fair cost-sharing of benefit premiums can address concerns related to taxation.

In its second year, the CDCP has seen increased participation from dental offices, with over 75% signing on in 2024. This improvement is largely due to changes like enabling direct billing through providers like SunLife. While the plan still receives some negative attention, it has made strides in addressing earlier concerns about reimbursement.

Key Takeaways:

  1. While inflation has eased in Canada, its effects continue to ripple through employee benefits programs. Rising claims, service costs, and premiums are putting pressure on employers to adapt their plans while maintaining affordability and value for employees.
  2. Benefits plans are evolving to include support for women’s mid-life health concerns, such as hormone replacement therapy. This shift highlights the importance of offering more inclusive and tailored coverage options.
  3. Recent government initiatives, such as funding for diabetes medications and IVF in British Columbia, may reduce claims under employer-sponsored plans. We are optimistic these changes will not only support employees but also help employers control costs.
  4. With mental health claims continuing to rise, employers are enhancing coverage and exploring innovative solutions to support employee well-being. Additionally, financial wellness programs, such as group savings plans and financial education sessions, are helping address financial stress among employees.

Read more:

The HER-BC Report – Women’s Health Research Institute

B.C. pharmacare deal will cover diabetes meds, hormone therapy | CBC News

Publicly Funded IVF Program – Province of British Columbia

Personalized Medicine Program – Group benefits | Manulife

Financial Well-being: Valuable Resources through our Partnership with Ciccone McKay Financial Group – Latest News from Immix Group

Dig Deeper into Disability Insurance

Mental Health Support: A Simple Guide to Providing Mental Health Coverage within your Employee Benefits Program

3 Action Steps Employers Can Take to Reduce Employee Financial Stress and Increase Financial Literacy

Money on your Mind; Talk about It

cost-sharing of employee benefits premiums.

Refer patients for pharmacogenetic testing

Dentists hesitant to sign up for federal dental plan; seniors advised to look at all options | Globalnews.ca

Pillcheck – Optimize your medications with DNA-guided therapy

Personalized Medicine Program – Group benefits | Manulife

Understanding Cost-Sharing in Employee Benefits – Latest News from Immix Group

Your One-Stop Guide: Exploring Key Themes in Employee Benefits

 

Lindsay Byrka

Lindsay Byrka, CFP® BA, BEd

Vice President, Immix Group: An Employee Benefits Company
A Suite 450 – 888 Dunsmuir St. Vancouver V6C 3K4
O  604-688-5262 

E lindsay@immixgroup.ca
W www.immixgroup.ca

Latest Insights

Your One-Stop Guide: Exploring Key Themes in Employee Benefits

Posted on by Immix Group

A Guide to Immix Insights Articles

Are you wondering what we’ve been writing about? Perhaps you haven’t had time to read the articles, but you’re hoping to gain some information on a particular topic.

At the Immix Group, we strive to provide articles spanning a range of topics that are important to those in our Client Community. Recently, we have had some members of our Client Community reach out asking us to send them directly to a specific article they remembered reading, that they wanted to revisit.

With 2024 coming to an end, it occurred to us that many people might benefit from a ‘round up’ guide to the many Immix Insights articles we have written over the years. We hope you find this useful!

 

Group Savings Programs: Helping employees plan for their financial futures

We are passionate about helping employees to grow not only their retirement savings accounts, but their financial literacy skills.  We have written extensively on the many and varied benefits of an employer-sponsored group savings plan:

The common theme? You can help your employees relieve their greatest stress-their finances- through an employer-sponsored Group Savings Program.

Most recently, for November’s Financial Literacy Month, we highlighted our partnership with our sister company Ciccone McKay Financial Group, who provide valuable financial planning resources and products to members of the Immix Group Client Community. Read about how to access these services in our article: Financial Well-being: Valuable Resources through our Partnership with Ciccone McKay Financial Group.

 

Understanding Pricing of Employee Benefits Programs

When it comes to pricing, we know you have a lot of questions. How does it work, why do the rates change, and most importantly, is there a better option out there? We have written extensively on how employee benefits programs are priced including related information on the various funding options for programs and the taxation of benefits.

We believe that pricing should be transparent- you should understand where your benefits dollars are going, and the value you are getting for the premiums you pay.

 

The Immix Group’s Unique Broker-Managed Pools

Unique to the Immix Group, we have discussed our popular broker-managed pricing pools, which are structured to extend flexibility, transparency and choice to plan sponsors, but within the protection of a pricing pool. The primary goals, however, are reduced administration charges and accordingly, long-term cost containment.

In addition to cost controls, paramount to our philosophy is exceptional, hands-on support for our Client Community. As we often say, we consider ourselves an extension of your HR team.

 

Exploring Your Options: Marketing your benefits program

Are things not quite right with your benefits program? Or, is it time to test the waters and see what’s out there? We’re happy to take a look at your program and offer a free review, and for those in our Client Community, we’re happy to shop the market on your behalf! We work with all the major (and many of the smaller) providers in Canada. But a quote for benefits isn’t just about looking at the bottom line; we’ve written about what to look for, given the many nuances of the marketing process.

More importantly, you will notice we emphasize the importance of working with a trusted advisor to guide you through the many intricacies of a comprehensive employee benefits program, as well as the importance of regularly assessing whether your program aligns with your organization’s values and purpose for the plan. 

 

Exploring Plan Design and Changes

Things change- your business, the economy, government healthcare. If your benefits program is beginning to feel inadequate, it may be time for a small tweak or even a total overhaul.

The articles below explore the importance of surveying your staff and updating coverage to meet current standards while addressing the unique needs of your demographics—key steps to standing out as an employer. We also emphasize the value of regularly assessing whether your program aligns with your organization’s values and the purpose behind the plan.

 

Laying the Foundation: Setting up a new plan

Just getting started? We know that the decision to implement benefits is tricky. Is your company large enough, can you afford it, how does it all work? We’ve got you covered, and have written about the many considerations that relate to getting started.

You will notice that we have included articles written about the popular Health & Wellness Spending Accounts, which continue to be a great option for small businesses wishing to provide flexible healthcare spending dollars to employees, at a predictable cost.

 

Mental Health Support for Employees  

Especially since the pandemic, we have seen an upsurge in requests for enhanced mental health support within employee benefits programs. But what does this mean? What really is effective, and what are employees seeking?

Employee and Family Assistance Programs play a vital role in supporting employee mental well-being, but simply paying for this program is not enough. Read about how to communicate the plan to staff, ensure plan members know how to access practitioners within their plan, and other ways you can support your team in this area.   

We have included our articles on Virtual Health, as these articles highlight online mental health support programs.

 

Special Topics: Disability Insurance, Travel Coverage, Fraud in Employee Benefits and More

 

Travel Insurance: What to know before takeoff

One of the things that comes up frequently when we conduct an employee education session is the inclusion of emergency out-of-country travel insurance in most extended healthcare plans. Employees are often not aware of this coverage and have many questions surrounding limitations, exclusions, the duration of coverage and what to do in the event of a claim.

 We’ve laid out the answers to all the FAQ’s in these articles.

 

Disability Insurance: The most misunderstood area of employee benefits

Despite its importance, one of the most overlooked areas of insurance- and employee benefits- is disability insurance. Disability insurance plays a critical role in protecting employees and their families when the unexpected happens.

Over the years, we’ve provided insights on how to ensure the right coverage is in place, understanding the differences between group long term disability and individual disability insurance, and most importantly, the options available to address the diverse needs of today’s workforce.

 

Working from Home: Is this an “employee benefit”?

Although COVID-19 is behind us, “WFH” is here thttps://canadianfamilyoffices.com/o stay. Employees have embraced the flexibility and balance it offers, while employers are navigating the impact on productivity, collaboration, and workplace culture.

 

This topic continues to make headlines for numerous reasons, from its influence on employee satisfaction to its role in attracting top talent.

 

Employee Benefits Fraud: it’s more common than you think!

Fraudulent activity within employee benefits programs can be costly and damaging. These articles provide valuable insights into recognizing, preventing, and addressing benefits fraud, helping businesses protect their assets and maintain a secure benefits program

Most people are shocked to learn how common benefits fraud is, and the many varied ways your program may be vulnerable.

 

Key Conversations: Yearly recaps

Lastly, “Key Conversations in Benefits” remain our most popular articles! Stay tuned for January’s article, which will highlight the main topics of 2024.

In the meantime, feel free to see what has made the headlines over the past years, what has stayed, and what has evolved in the world of employee benefits.

 

That’s a Wrap for 2024!

As 2024 draws to a close, we hope the insights we’ve shared throughout the year have been both helpful and informative in navigating the world of employee benefits.

Whether you’re revisiting familiar ideas or seeking new perspectives, these articles are great to explore when reflecting on your current plans or considering fresh approaches for the year ahead. We have some great articles planned for 2025 and look forward to sharing them!

As always, if you have any questions, feel free to reach out to us at info@immixgroup.ca or give us a call at (604) 688-5559 – we love to hear from you!

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Lindsay Byrka

Lindsay Byrka, CFP® BA, BEd

Vice President, Immix Group: An Employee Benefits Company
A Suite 450 – 888 Dunsmuir St. Vancouver V6C 3K4
O  604-688-5262 

E lindsay@immixgroup.ca
W www.immixgroup.ca

Latest Insights

Financial Well-being: Valuable Resources through our Partnership with Ciccone McKay Financial Group

Posted on by Immix Group

By: The Immix Group in partnership with Ciccone McKay Financial Group

November marks Financial Literacy Month in Canada, and this year’s theme, “Money on Your Mind. Talk About It!”, focuses on encouraging open conversations about personal finances. This month, we want to highlight how employers can support their employees’ financial well-being, beyond standard employee benefits, through the unique access that members of the Immix Group Client Community have to our sister company, Ciccone McKay Financial Group.

 

What is Financial Literacy and Why is it Important?

Financial literacy refers to the ability to understand and manage personal finances effectively. It goes beyond just earning a paycheck—it’s about empowering individuals with the knowledge, resources, and confidence to manage their financial health today and for the future. Financial literacy encompasses:

  • Knowing how to budget and save
  • Managing debt effectively
  • Planning for retirement and other long-term goals
  • Making informed financial decisions

For employees, mastering these skills can significantly reduce financial stress, improve focus at work, and contribute to overall well-being. With financial concerns consistently ranking as the #1 stressor for Canadians, it’s clear that promoting financial literacy can have a substantial impact on an individual’s mental and financial health.

 

Supporting Employee Financial Well-Being

At the Immix Group, we recognize that financial wellness plays a critical role in an employee’s overall well-being, and supporting this goes beyond just offering competitive pay and comprehensive employee benefits. While there are many ways you can increase financial wellness through employee benefits such as group savings programs and health/wellness-related resources, we believe that knowledge is the ultimate power when it comes to financial wellness. This is where financial literacy steps in.

In all of our education sessions and update meetings, we consistently emphasize the resources available to your team through our sister company, Ciccone McKay Financial Group. The goal of this article is to provide an in-depth look into the financial services our sister company, Ciccone McKay Financial Group, offers to members of the Immix Group Client Community, the type of support your employees can expect to receive, and how to get started.

 

Immix Group’s Background in the Financial Services Industry

Established in 2003 (but with roots dating back much further!), Ciccone McKay Financial Group has been providing tailored wealth management services, with a strong focus on helping individuals and organizations protect, preserve, and grow their wealth. The Immix Group- which focuses on employer-sponsored benefits programs– was established as a separate company in 2010 but existed previously as a division of Ciccone McKay Financial Group. Thus, our ties are strong!

Today, we still share an office meaning the Immix Group team and the Ciccone McKay team are able to collaborate and leverage the varied experience and specializations of the entire team. Across both the Immix Group team and the Ciccone McKay team we hold a wide range of highly regarded credentials in the financial services industry such as the Certified Financial Planner (CFP) designation and Trust & Estate Practitioner (TEP). This deep financial expertise is a valuable resource to your business and employees.

 

Resources Available to members of the Immix Group Client Community via Ciccone McKay Financial Group

As a member of the Immix Group Client Community, your team has access to the seasoned professionals at Ciccone McKay Financial Group. This includes personalized financial services (see in next section) and educational workshops such as:

  • Financial Planning 101: Building a Balanced Financial Portfolio
  • Setting Financial Goals: Short, Mid, and Long-term Strategies
  • The Power of RRSPs: How to Maximize Savings
  • Your Health is Your Wealth: Exploring Critical Illness, Disability, and Long-Term Care Options
  • Individual Pension Plans (IPPs): Supercharged RRSPs for Business Owners & Executives

These customized workshops aim to provide knowledge, actionable advice, and help your employees gain the confidence they need to take control of their financial future. Interested in arranging an educational workshop for your organization? Click here to contact us and organize a session for your team!

 

The Support Your Employees Will Receive from Ciccone McKay Financial Group

While the employee benefits program provides a strong foundation for financial health, every employee is different, and customization is required in the form of additional insurance and investment strategies and products. 

Through Ciccone McKay, your employees can access a range of financial services, including:

  • Insurance Products (e.g., Life, Disability, Critical Illness)
  • Registered Investment Accounts (Setting Up RRSP, TFSA, and RESP Accounts)
  • Non-registered Investments (Virtual Bank Accounts)
  • Manulife One (Mortgage Banking Account)

 

Here’s how your employees can get started with a Ciccone McKay advisor:

  1. Let’s get in touch: Reach out to your Immix Group service contact person with the employee’s contact information and a brief description of the assistance they’re seeking.
  2. Advisor match: We’ll pair them with an advisor from the Ciccone McKay team who best fits their needs.
  3. Introduction call: The advisor will reach out to schedule a brief introductory call or virtual meeting to assess the employee’s financial situation and needs.
  4. Strategy Discussion: Depending on their needs, the advisor may have an in-depth conversation to discuss products and solutions.
  5. Ongoing engagement and follow-up: The advisory team will provide clear guidance and regular updates, ensuring a seamless process every step of the way.

We encourage plan administrators and HR teams to share this resource with your employees. It’s an excellent way to add value to your employee benefits package and show your team that their financial well-being is a priority.

For easy sharing, we’ve attached a one-pager that outlines this service.

Sharing link: One Page Summary for Sharing

Feel free to distribute it to your employees directly. If you have any questions or need more information, don’t hesitate to reach out. As always love to hear from you!

Did you know?

  • Personal finances and workload remained the top two main sources of stress for Canadians. (Benefits Canada Survey)
  • Only 13% of employee benefits plans include financial support programs (Benefits Canada Survey)
  • 40% of Canadians Report their financial situation as poor or fair. (View the report)

Additional Resources:

Financial Literacy Month: Money on your mind? Talk about it!

Financial Literacy Month in Canada

Promotional toolkits for financial literacy and consumer protection

Introduction to Ciccone McKay Financial Group

One size fits all? Not when it comes to employee benefits.

Money remains the top source of stress for Canadians

Financial stress and its impacts

Three Reasons to Implement a Group Savings Plan

A Step-by-Step Guide to Individual Health & Dental Plans

Mental Health Support: A Simple Guide to Providing Mental Health Coverage within your Employee Benefits Program

Meet the Immix Group Employee Benefits Team

Immix Group – Education Session Available

Contact the Immix Group

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What You Need to Know When Considering a Switch in Employee Benefits Providers

Posted on by Immix Group

When selecting a benefits provider, ensuring the right match for your organization is essential. When it comes to the benefits offering, as we’ve spoken about before, ‘one size fits all’ is not an ideal approach to take. Different insurance carriers have various strengths and weaknesses. But what is the right match? What are the important factors to consider? How do you assess when it’s time to shop around?   

It’s common to hear benefits advisors state that they ‘test the market every 3-5 years’ or within some other similar date range. At the Immix Group, we have a bit of a different take on this, as it’s our belief that switching carriers should be based on ongoing dissatisfaction in a key area:

  • Service
  • Systems
  • Coverage
  • Pricing

The desire to shop the plan with competing carriers can be driven by any of the above factors. Before we delve into each of these areas, we want to be clear: we certainly don’t think a benefits program should go without a frequent in-depth review. In fact, we conduct a thorough annual renewal review meeting as well as a mid-year update for all groups. Depending on your needs, this may include benchmarking, suggestions for plan design changes, analysis of program usage or other updates. In short, we are deeply involved on a routine basis in ensuring the smooth management of your program, the appropriateness of the coverage, the evolution of the benefits and adaptation to the changes your organization experiences.

As we say at the Immix Group, we want you to love your benefits plan! But what does that look like? To us, it means ongoing satisfaction in the areas we have named above. Sure, things go wrong sometimes. People make mistakes, systems and processes fail, or miscommunications can occur. While at the Immix Group we aim to prevent problems, a big part of our job is swiftly resolving issues that may arise. Sometimes, however, it’s time to make a move.

 

Exceptional Service, from both your advisory team and the carrier.

There is nothing more annoying than waiting on hold, other than waiting on hold and then not getting the answer you need! Unfortunately, one of the main complaints we hear is that insurance carriers fall short when it comes to the call centre support for employees and administrators. That said, some are better than others in this area.

We want those in our Client Community to come to us with questions rather than going directly to the carrier. Sometimes, this requires us to work behind the scenes with the carrier to obtain answers and resolve problems. There are also limitations due to privacy rules, but we do our very best to provide direct support at each level. Our partnered carriers are those with whom we have great confidence in their ability to deliver accurate and prompt assistance.

If you are feeling unsupported or employees are complaining, it’s important to examine where the service issues lie. Is it your broker or your provider? Where are the hiccups, and where does responsibility lie?

We often see instances of a switch in provider or advisor that is intended to solve an ongoing servicing issue but, unfortunately, the problem remains unresolved as there is a misunderstanding as to the true source of the issue. The most common service issues relate to claims not being adjudicated correctly or in a timely manner, unacceptable delays in obtaining information, or incorrect information being provided. If employees are complaining, it can be worthwhile to get an objective opinion from another advisor in order to assess where things are going wrong, before making a switch.

 

Systems and technology – these vary significantly between carriers.

To us, it is unacceptable in today’s world to not have information at your fingertips (i.e. on your phone)! The member application and online site, as well as the administrative portal, should be easy to navigate and provide the capability to complete most transactions online.

Additionally, insurance carriers today must be able to facilitate direct billing for most claims, which means providing software that makes it simple for pharmacies, dental offices, and other practitioner offices to engage with the program.

It is well established that the greatest indication of satisfaction with a benefits program comes down to the ease with which the member can interact with the plan. This means clear information as to what is covered, combined with simple and efficient claims adjudication. Ideally, the processing of the claim is directly at point of service, whether at the pharmacy, the dentist, or the chiropractor. The days of routinely mailing paper claims and waiting for a cheque should be far behind us.

Complaints related to systems tend to be connected to the inability to direct bill at a particular point of service or for certain types of items, difficult or manual processes for making employee changes, or overly complex billing statements.

Program coverage – not all carriers are identical in what they can provide.

Just as systems and service differ, carriers differ in the program coverage they will offer to a particular group. Sometimes a switch in carrier may be driven by the desire to access program features that are unavailable through your current provider.

When a program is being marketed and an ‘apples-to-apples’ quote is requested, there will always be deviations between carriers. For certain items, a carrier may be agreeable to matching what would normally fall outside their standard provisions (i.e. dental scaling units, specific non-evidence limits, or a unique paramedical practitioner reimbursement schedule); other items they may not match.

Any quote for coverage should also be examined carefully. Carriers do not “contract match” so there will always be minor deviations, even for what appears to be a comparable program. Carrier requirements and plan offerings differ in many areas, such as:

  • Minimum number of employees
  • Minimum number of employees to form a class of coverage
  • Ability to structure the invoice (billing divisions, subtotalling etc.).
  • Industry type they will insure
  • Funding structures available to different types of groups
  • Non-evidence limits and maximum benefit limits available
  • Paramedical reasonable and customary limits
  • Drug programs (available formularies vs open formularies)
  • Long term disability provisions; cost of living adjustment, own occupation definition, definition of disability, non-evidence and maximums
  • Health and wellness spending account availability and cost structure
  • Network in specific areas; for example, some providers are more well known in certain regions compared to others

As well, providers vary considerably when it comes to embedded and optional services and programs. The list is long, but Employee and Family Assistance programs, virtual care, medical Second Opinion and drug management programs are commonly compared. It is important to consider who the third-party provider is for these programs and if the service is embedded or an additional cost.

If you are considering moving carriers because you believe your current provider is unable to provide adequate coverage in a certain area, we urge you to ensure this is accurate. Plan designs are highly customizable with most carriers.

That said, there are times when a particular group and provider are not a good match because of limitations in coverage offerings. For example, we have recommended a switch in carrier to access higher quality disability coverage, or because an employer was expanding from one province into multiple provinces. As always, working with a qualified advisor who understands the nuances of various providers will help guide you in whether a switch is the right move.

 

Benefit Plan Pricing- should you switch carriers to get lower rates?  

High inflation has hit us all, and it is very possible you experienced an increased premium the last time your benefits program renewed.

You can almost always get a premium discount with a switch in carrier; however, a discount connected to a switch in carrier may be temporary. Unless you are reducing the administrative costs on the plan, which can be achieved in a variety of ways (membership in a pricing pool, reduced advisor commission, or elevated Target Loss Ratios, which may come from the previous two), you may just have a carrier ‘buying your business’ with an enticing price discount.

That said, benefits program pricing is complex and you really need to get into the details of how a new provider will price your program. Often the ability of your broker to negotiate or otherwise control the pricing (for example, through our broker-managed pools) is more important.

Comparing your claims to your premiums is a good indicator as to whether the discount is potentially sustainable, or whether it seems likely your premiums will increase at the expiration of the initial rate guarantee (assuming claims remain similar). For a typical insured non-refund plan, it cannot run at a loss year over year. This forecasting is tricky, and there is a good reason you should work with your benefits advisor to understand potential outcomes.

If you are otherwise happy with the provider, plan members are happy with the systems and the provider is able to support your desired program components, making a switch based solely on a short-term pricing discount may be shortsighted.

Moving carriers, while much easier today with advancements in technology and the ability to do mostly digital file transfers, is still disruptive to employees, including benefits admin staff and HR. Meetings, memos and training will need to occur to learn the new provider.

 

So, is it time to switch carriers, advisors, or both?

We are happy to market a program on your behalf, however, we need to truly understand why you wish to seek a different provider. We encourage you to think about the following:

  • Service; we want to be clear on where the problem lies. Is it solvable?
  • Systems; the ability to easily process claims is paramount, and comprehensive but simple systems are a must. Are there concerns in this area?
  • Coverage; if you’re unhappy with the plan offering, can you work with your current provider to amend coverage or are they unable to support your desired program?
  • Pricing; this is complex and it’s essential to be aware if a rate decrease appears temporary or sustainable.

Ultimately, our goal is to ensure that your program meets your needs at every level. Properly marketing a plan with appropriate alternative carriers and deep diving into the nuances of the coverage (especially for a more complex program), is a time-consuming endeavour for advisory groups, which we will gladly undertake.

 

Want a second opinion?

At the Immix Group, we offer a complimentary benefits program review which offers a detailed audit of your plan design, usage, rate history, and pricing. Our experts ensure your plan design is competitive and that your pricing is fair and reasonable in today’s evolving market.

Click the link to get a second look at your employee benefits package today!

Did you know? 

The vast majority of the Immix Group’s new clients come as referrals from our existing clients! This is great news to us; this means our clients are happy with our service, their benefits program, and most importantly, they want to share this with a friend!

Key Takeaways:

 

  • When to Consider a Change: Regular review of your benefits program is crucial, but switching carriers should be based on dissatisfaction in areas like service, systems, coverage, or pricing, rather than arbitrary timelines.
  • Importance of Service and Systems: Effective communication and accessible technology are critical to employee satisfaction. Benefits programs should offer easy claim processing and responsive support to enhance the member experience.
  • Understanding Pricing Dynamics: Navigating benefits pricing can be complex. It’s important to analyze your claims versus premiums to determine if a temporary discount from a new carrier is sustainable, rather than switching for short-term savings.
  • In-Depth Reviews Matter: Regular, thorough evaluation of your benefits program can help identify gaps and ensure it remains competitive and sustainable in the face of rising costs, particularly with inflation impacting premiums.

FAQ

The right time to switch is when you experience dissatisfaction with service, outdated systems, insufficient coverage, or unfavourable pricing, rather than adhering to a fixed timeline.

Evaluate response times, accuracy of information, and overall support from both your advisor and the insurance carrier. Your satisfaction with claim processing is a good indicator.

Modern benefits providers should offer user-friendly online platforms and mobile apps that facilitate easy claim submission, access to information, and direct billing options.

While switching carriers can provide initial discounts, it’s important to evaluate whether those savings are sustainable and if the new plan meets your organization’s needs.

Switching carriers involves training and communication for employees and benefits administrators, which can be disruptive. Proper planning is essential to ensure a smooth transition.

Read More:

A Proven Strategy for Containing Employee Benefit Plan Costs – Latest News from Immix Group

8 Reasons for Increases to your Employee Benefit Plan Premiums    – Latest News from Immix Group

Check to Ensure your Benefits Quote is Actually for a Comparable Plan – Latest News from Immix Group

Renewing Employee Benefits in 2021? – Here are things to know going forward to keep costs down. – Latest News from Immix Group

Employee benefits: What you need to know about discounted group benefits pricing – Latest News from Immix Group

The value of employee benefits inside a broker-managed benefits pool, especially during times of uncertainty – Latest News from Immix Group

EAPs – how these programs can benefit both employees and organizations

Virtual Health Care is Everywhere

Dig Deeper into Disability Insurance

Lindsay Byrka

Lindsay Byrka, CFP® BA, BEd

Vice President, Immix Group: An Employee Benefits Company
A Suite 450 – 888 Dunsmuir St. Vancouver V6C 3K4
O  604-688-5262 

E lindsay@immixgroup.ca
W www.immixgroup.ca