Employers and employees might both gain from using an intermediary to source employee benefits, according to Grid.
According to Grid, keeping up with the rapidly changing employee benefits landscape is time-consuming and complex for employers, given their other responsibilities. The research highlights the advantages of using intermediaries to source employee benefits.
Employers who used intermediaries saw value in doing so, citing benefits such as expertise in employee benefits at 35 per cent, ensuring competitiveness in the industry at 33 per cent, effective communication of benefits to the workforce at 33 per cent, staying informed about trends at 30 per cent, and wise spending at 28 per cent.
Grid says companies still can seek the assistance of intermediaries in locating the most appropriate employee benefits, even though larger businesses are more likely to hire consultants than SMEs, 22 per cent compared to 40 per cent.
The research also found that only a quarter or 26 per cent of employers claim to know all available employee benefits on the market. In comparison, 43 per cent know of some benefits, according to Grid.
Grid research shows that 44 per cent of employers directly source employee benefits by contacting providers or suppliers, while 34 per cent rely on opportunities sent by providers. Only 26% of employers use intermediaries, and 23 per cent turn to trade bodies or federations for pre-vetted providers.
Grid spokesperson Katharine Moxham: “Providers in our industry frequently add additional support to their services that benefit the business, employees and their families. While some employers may be aware of such developments, it is an intermediaries’ responsibility to know what is available and how it may best suit an employer and their staff, and they can point employers in the right direction.
“The right intermediary will be able to support the employer in building their knowledge of the most appropriate employee benefits for their business, which will help to get the best possible outcome. As insurers strive to provide unique and more compelling products and services with greater flexibility and options, advisers are well placed to keep track of these developments and support employers in deciphering which ones are most appropriate for them.”
