ROSELAND, NJ -- (Marketwired) -- 08/06/15 -- ADP® and USI Insurance Services, a leading insurance brokerage and consulting firm, are partnering to create a Private Exchange that offers employers a broad range of health benefits plan options powered by a Human Capital Management (HCM) company.
"With the Affordable Care Act's 'Cadillac' Excise Tax looming on the horizon and underlying health care costs continuing to rise, many employers are examining new ways to control their costs while continuing to offer their employees valuable benefit options and consumer-like shopping experiences," said Gerry Leonard, president, ADP Benefits Services. "We chose to partner with one of the world's largest brokers to launch the ADP Private Exchange, because USI's benefit design strategy helps employers control their costs while ADP's technology helps employees navigate the complexity of health insurance shopping."
"With the continued evolution and complexity of the Affordable Care Act, we are consulting with an increasing number of employers seeking comprehensive solutions for their benefit needs," said Arthur Hall, employee benefits practice leader at USI. "By partnering with ADP, USI is able to offer our USI ONE Advantage alongside comprehensive employee decision support and enrollment. These solutions deliver a wide range of cost and benefit design choices, best-in-class insurance products, and integrated payroll, HR, Benefits and more, on a single offering that will eliminate costly and complex multi-vendor relationships."
Through USI's collaboration with ADP, employers can now empower their employees to choose from a broader selection of plan options and make benefit decisions that best meet their individual needs. Participating organizations' employees will be able to easily compare health plans by price and coverage using state-of-the-art decision support and a more retail-oriented shopping experience. Integration with ADP's Spending Account programs (e.g., Health Savings Accounts and Flexible Spending Accounts) helps to ensure employees are well prepared to handle their financial responsibilities no matter which plans/carriers they choose every year.
In addition to healthcare cost challenges, more than half of large employers (with 1,000+ employees) are unprepared to comply with all Affordable Care Act (ACA) requirements, according to ADP's recent ACA Employer Confidence Report. ADP's suite of HCM services, including ADP Health Compliance, significantly reduces the administrative burden of employers by supporting and streamlining the labor-intensive and complex interactions between workforce management systems, employers, employees and various government agencies.
Since the ACA was enacted in 2010, ADP has helped clients of all sizes adapt to emerging ACA compliance requirements. For more information, visit adp.com/health-care-reform.
About the ADP Private Exchange
The ADP Private Exchange is a new Exchange solution that offers an end-to-end experience for employers, including defined contribution, an integrated spending account solution and access to Public Exchange plans through a partnership with GoHealth. Through integration with workforce management systems and data, ADP Private Exchange enables employers to reduce the administrative burden associated with both healthcare benefits and ACA compliance. Built upon ADP's deep expertise in compliance, benefits technology and data security, the ADP Private Exchange is an independent, open and fully integrated platform. ADP administers healthcare benefits for more than 15 million U.S. employees and their dependents.
Employers around the world rely on ADP® (NASDAQ: ADP) for cloud-based solutions and services to help manage their most important asset -- their people. From human resources and payroll to talent management to benefits administration, ADP brings unmatched depth and expertise in helping clients build a better workforce. A pioneer in Human Capital Management (HCM) and business process outsourcing, ADP serves more than 630,000 clients in more than 100 countries. ADP.com.
About USI Insurance Services
USI has more than 4,400 dedicated, experienced and innovative professionals connected across over 140 offices throughout the United States, and is a leader in insurance brokerage and consulting in property-casualty, employee benefits, personal risk services, retirement, program and specialty solutions. With approximately $1.0 billion in annualized revenue, USI is the 8th largest insurance broker of U.S. business(1), the 4th largest privately held commercial lines broker in the United States(2), and the 12th largest insurance brokerage firm in the world(3). USI is also the 3rd largest privately held personal lines broker in the United States(2) and the 7th largest benefits broker ranked by global benefits revenue(4). USI has been recognized for its innovation by Information Week 500 and Best's Review January 2014 Innovation Showcase. Visit the Company's website at www.usi.biz.
(1) Business Insurance 2015 100 Largest Brokers of U.S. Business, July 19, 2015
(2) Insurance Journal's 2013 Top 50 Privately Held Personal Lines (excludes non standard auto brokers-aggregators) and Insurance Journal's 2014 Privately Held Commercial Lines Leader Ranking
(3) Best's Review's Leader Issue July 2015, Top Global Insurance Brokers Ranking
(4) Business Insurance Largest Benefits Brokers, July 21, 2014