Hawaii Construction Company – Mitigating Rising Premiums & Enhancing Field Benefits
Company Overview
This mid-sized construction company operates across multiple islands, employing a diverse workforce of 130 people, ranging from site laborers and specialized trades to office-based project managers. Facing the high cost of living and business operations in Hawaii, the firm sought a way to remain competitive as an employer without sacrificing their bottom line.
The Challenge
The company was at a crossroads due to several mounting pressures:
- Premium Spikes: Massive year-over-year health insurance increases were threatening the company’s operational budget.
- Supplemental Gaps: Workers expressed a strong desire for supplemental insurance but lacked the time to research options or the discretionary income to pay for them.
- Administrative Complexity: With varying job types and physical demands, a “one-size-fits-all” benefit package was no longer effective or appreciated by the staff.
The Solution
Working directly with the CFO, we simplified their benefits architecture. By integrating the WIMPER program, we were able to deliver a package that addressed the specific needs of construction professionals:
- Job-Type Customization: Benefits were streamlined based on specific roles to ensure relevance and ease of use.
- No-Cost Supplemental Benefits: Employees received critical supplemental health coverage with no reduction in their take-home pay.
- $0 Prescriptions & 24/7 Care: We provided workers with $0 copays on essential medications and 24/7 access to medical care, whether they were on a job site or at home.
Financial Impact
| Metric | Value |
|---|---|
| Total Eligible Employees | 130 |
| Annual Employer FICA Savings | $145,600 |
| Employee Out-of-Pocket for Supplemental | $0 |
| Prescription Drug Copays | $0 |
| Access to Care | 24/7 (On and Off the Job) |
“Our guys are in the field all day; they don’t have time to navigate insurance portals. By working with the WIMPER team and our CFO, we simplified everything. We gave them $0 prescriptions and 24/7 care, and the tax savings actually helped us absorb the premium increases from our primary carrier.”
— CFO, Hawaii Construction Firm
Why It Works
- Solves the “Premium Gap”: The employer tax savings can be used to offset the rising cost of traditional major medical plans.
- Operational Safety: 24/7 access to care provides peace of mind for high-risk industries like construction.
- Zero Cost to Employee: Utilizing Section 105 allows for enhanced benefits without touching the employee’s paycheck.
- Recruitment & Retention: Provides a “Platinum-level” benefit feel that sets the company apart in a competitive labor market.