We are continuing to see the consolidation of group insurers (GIs) in Australia through mergers and acquisitions, although major GIs continue to compete to retain business. In parallel, rates are being impacted due to high levels of claims activity – many clients coming out of 2-3 year rate guarantee periods are facing rate increases between 40 – 50%. The disability market has been particularly impacted, with mental health now a key driver of claims activity, and GIs brace for the long-term impacts of COVID-19.
KEY MILESTONES / CONSIDERATIONS FOR CLIENTS FOR THE NEW QUARTER (FY22-Q3):
Closed borders and reduced migration to Australia during the pandemic have led to further talent shortages in the local market across vast industries. Due to the reduced labour market, proactive organisations with structured and holistic employee benefits propositions are more likely to attract and retain the best talent. Organisations need to consider benefit plans that reflect their employees’ overall health and wellbeing – one that holistically targets their mental, physical, and financial needs, and is supported by a technology platform that drives strong engagement, understanding, and usage by staff. These elements are critical for employees to value their benefits and enjoy a seamless experience.
ANY INDUSTRY TRENDS YOU CAN SEE ARISING IN OVER THE REMAINDER OF FY22?
Technology continues to be a key industry for employee benefits (EB) in Australia. The recently formed Tech Council of Australia has ambitions to see one million people employed in technology jobs by 2025. It is, therefore, no surprise that EB remains a top priority for technology companies looking to attract and retain the best talent in an extremely competitive market.
A recent PwC survey revealed wellbeing is the second most important factor for employees in their decision to join or leave an employer. In addition, 85% of workers reported that their wellbeing has deteriorated during the pandemic, with 1 in 2 workers experiencing mental health challenges over this time. In response, we are seeing an increasing number of companies invest in their employees’ mental health through targeted support, building such offerings as health and resilience workshops, manager training, support for working parents, and mindfulness workshops into their benefits programs. Find out more in this essential benefits briefing.
Technology will continue to play a key role in the EB space, with more organisations adopting benefits platforms to deliver their programs. Honan has partnered with Zest to provide a market-leading platform that allows organisations to showcase their overall benefits in a unique and customised way for a seamless employee experience. Please contact us with questions at any time, or to book a demonstration.
Protecting cash flow, guarding against late and/or non-payments from customers, and securing your company’s own creditworthiness is critical to business sustainability. This article looks at two key ways you can limit your liquidity risks: credit reports and trade credit insurance.
Honan Insurance Group Pty Ltd (Australian Financial Services Licence no. 246749, ABN67 005 372 396) is an insurance broker acting as agent for insureds and intending insureds. Honan is not an insurer. The information on this website has been prepared without taking into account your objectives, financial situation or needs. Any advice provided on this website is general advice only. Before making a decision to purchase an insurance policy, please read the relevant Product Disclosure Statement to make sure the policy is right for you. Insurance cover is subject to policy terms and conditions including policy limits and exclusions.
From time to time, Honan may act under a binder arrangement with an insurer. When this happens, Honan is authorised by the insurer to issue certain insurance policies on the insurer’s behalf. When Honan does this it acts as the agent for the insurer and not for any insured person. We will let you know when we are acting under a binder. You can view the Product Disclosure Statements for the insurance policies we issue under a binder arrangement here. A copy of the Target Market Determination for each policy is also available on this website.
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