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2017
2017 GROUP BENEFITS CLIENT CONFERENCE SEMINAR SUMMARY | OCTOBER 26, 2017
there’s more than meets the eye
2017 GROUP BENEFITS CLIENT CONFERENCE
This past October, The Williamson Group teamed up with Cowan Insurance Group to co-host their sixth annual client conference at Rattlesnake Point Golf Club in Milton. Featuring in-house and guest speaker expertise, Think! 2017 challenged perceptions of today’s trending issues, demonstrating that with every problem— and every solution—there’s more than meets the eye. The daylong event kicked off with a warm welcome from Marc Benoit, VP, Consulting, Group Benefits, Cowan Insurance Group, after which the day’s keynote speaker took to the podium.
The Seven Ups of Happiness
Scott Christopher Actor & Author of The Seven Ups of Happiness Actor, author, and returning Think! keynote speaker, Scott Christopher travels the world teaching leadership audiences how to build more engaging and rewarding work cultures. Drawing on his HR and acting background, Scott’s message was entertaining and motivating as he spoke candidly about his views on life, work and happiness, using real-world corporate anecdotes and video clips. Scott provided easy-to-understand fundamentals and tips on how people can better manage at work and home by sharing seven “UPs” from his most recent book The Seven UPs of Happiness, all of which were based on a few key premises: • Employers may strive for employees to be more engaged, but employees simply want to be happy • It’s futile to try and help others be happy if you yourself are not Scott believes that there is always more “UP” in life, and that it’s human nature to keep moving and not be stagnant. He also noted that there are many different ways (or Up’s) to staying positive and on track. Huddle UP is about strengthening teams. Suck it UP describes dealing with change in a positive manner and taking life’s setbacks in stride. Open UP addresses love and relationships and expressing yourself in positive ways, especially at work to lift the spirts of a co-worker. Shape UP (not surprisingly) is about getting fit—physically and mentally. Make UP your mind and decide to be happy, even in the face of adversity. It will accelerate the process.
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The UP and UP reflects on the importance of maintaining integrity and authenticity. Lighten UP is the way in which we can actually help create a positive work environment for co-workers. This is attained through three key attributes: •L atitude – allowing people the freedom and flexibility to be themselves, and time to open up •A ttitude – creating balance in the workplace and the perceived value of a sense of humour •G ratitude (Give it UP) – refers to the intangibles of sincere acknowledgment, appreciation, respect, and open communication which employees need on a daily basis Gratitude is one of the main ways that we can help others in their own search for happiness at work and at home. It gives others a sense of validation and acknowledgement. Scott cautioned that the belief that “life is not work” is erroneous and concluded that suddenly getting everything you want may also not be the answer. The minute you get everything you wanted—will you REALLY be happy? A book signing and meet and greet with Scott followed, and was capped off by Joanna Mackie, Senior Service Consultant, Pension & Retirement, who led active movement practice sessions during the breaks throughout the day, promoting audience engagement and focus. 2
2017 GROUP BENEFITS CLIENT CONFERENCE
Drugs & Politics: Placebo, Sedative or Stimulant?
Noel MacKay Principal Consultant, The Williamson Group The next speaker was Noel MacKay, who brought the audience up to date on recent political developments that are expected to have an impact on drug pricing and bottom line plan sponsor costs. Noel introduced the audience to the key players on the federal level. He explained that prior to leaving her cabinet post, the previous Minister of Health had vowed to reduce high drug costs which would be accomplished in part by modernizing the Patent Medicines Prices Review Board (PMPRB). The PMPRB is a federal agency whose mandate is to control the prices of drugs in Canada. Noel outlined the process through which the PMPRB sets maximum allowable drug costs, which includes comparing the drug price to similar and other drugs both in and outside of Canada, as well as taking fluctuations in the consumer price index into account. Comparator countries have a national pricing containment measure in place to protect consumers from high drug prices, a similar GDP per capita, as well as similar market characteristics to Canada. Noel explained that the goal is to keep Canadian drug prices in line with, or lower, than comparator countries. He walked the audience through the balance of the steps involved in determining Canadian drug costs, which include adding manufacturer and retail pricing. Noel addressed Canada’s role in the global pharmaceutical economy, as well as the role that unresolved international agreements have on any discussions surrounding national pharmacare. The presentation turned towards provincial politics and the upcoming Ontario election. Noel touched on each of the major political party election platforms as they relate to drug pricing, along with a look at the potential ramifications of what these promises may mean, including a review of OHIP+ —how it works and the what it may mean to plan sponsors. Noel’s finished off with a look at the importance of investing in prevention and the effect that a welldesigned benefits plan can have on the type of claims your plan will experience in the future. His key takeaway points were sobering statistics about Canadian mental health issues, along with a plea to the audience to make the best use of their EFAP. 3
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2017 GROUP BENEFITS CLIENT CONFERENCE
Financial Wellness: The Missing Piece in Your Employee Wellness Plan Teresa Norris-Lue National Vice-President, Pension & Retirement Consulting, Cowan Insurance Group Teresa Norris-Lue’s presentation shed light on what is often the missing link in an employee wellness plan—financial wellness. She began by taking a closer look at the subtle differences between financial well-being, which is a state wherein a person can fully meet current and ongoing financial obligations, feeling secure in their financial future, while being able to make choices that allow them to enjoy life, and financial literacy, which refers to having the knowledge, skills and confidence to make responsible decisions. Teresa shared a number of disturbing statistics relating to the state of Canadian financial wellbeing and financial literacy. Less than half of all Canadians keep a household budget or feel knowledgeable about their finances. Almost half would not be able to make ends meet if they missed just one paycheque. Canadians are saving only 3.6% of their annual income and at 168%, the Canadian debt to income ratio is the highest of all the G7 countries. On average, Canadians owe 168 cents for every dollar of annual income. Studies suggest that financial challenges are at the root of the majority of counsellor visits, yet people are not making that connection. Many who seek support find it hard to reveal their financial issues due to shame and embarrassment. Teresa also reviewed generational differences and touched on the unique challenges that each generation has to face. Teresa explained that 42% of working Canadians say they are distracted at work due to financial worries, often a result of juggling daily personal finances and making
decisions related to future financial security. Employees who experience financial stress may be more prone to losing sleep, having higher blood pressure, and suffering from back pain and depression. People who were experiencing financial stress admit they are 16% less productive on the job and this group also takes 25% more sick time. Poor financial well-being causes stress that impacts our physical and mental health which can negatively affect workplace productivity resulting in a high cost to employers. Employee wellness plans have traditionally focused on physical and mental well-being, but organizations are beginning to recognize the important role that financial well-being can also play in an employee’s overall health. Teresa introduced the Cowan Financial Literacy index, a financial literacy tool comprised of seven questions related to investments and financial planning that can assist organizations in gauging levels of employee financial literacy and raise awareness for the need and importance of financial wellness. Data from the tool can help with design planning and investment line-up offerings, developing comprehensive communication strategies, and targeting educational programs. Teresa gave the audience a taste of the sample questions on the quiz and discussed the advantage to employers of supporting a financial wellness program, which included increased engagement and morale, improved productivity and reduced absenteeism. Teresa ended her presentation by debunking some of the common myths pertaining to Personal Finances and Planning.
Fighting Cyber Crime! How to develop a secure culture in your organization
Don Hunt Vice President Risk and Audit, Princeton Holdings Ltd. After the lunch break, Don Hunt took to the podium with a discussion on fighting cybercrime, which focused on why information and cyber security is important and some tips on how to engage management and staff in the security conversation. Don stressed the importance of transmitting information in specific ways to protect its confidentiality, integrity, and availability. Loss of information can lead to: • significant financial costs • damage of reputation and public trust
Why? Because according to Don, it not a matter of if, but when, and he went on to describe his journey with PHL and some of the security challenges—and successes—that are faced on a daily basis. Don attributes the success to ownership and leadership support, creation of a crosscompany functional team, regular online training audits of sensitive information, and online training of employees. He views Information Security as a transformational layer within an organization that changes how business is transacted and which engages all levels of employees and all areas of the company. Security, vigilance and resilience are the cornerstones of keeping your company secure and safe.
• fines or sanctions for regulatory non-compliance • loss of business or competitive edge • loss of productivity Don outlined current trends in cybercrime, with added insight on how the cost to employers from a variety of security risks may be mitigated. He explained how many of these depend on clever manipulation of the human tendency to trust. Social engineering risks include Phishing, Spear Phishing, Pharming, Watering Holes and Ransomware. Don gave detailed examples of each and tips on how to avoid falling prey to these schemes. Human error is your biggest risk to security and this is where culture and education can come into play. Don gave suggestions of how employers can be more vigilant about office security, including: • not leaving documents left out unattended or overnight • locking away removable media when not in use • keeping filing cabinets shut and locked • disposing of sensitive information in a secured bin or shredder • locking office doors when leaving for the night • never storing sensitive information on a whiteboard • enforcement of a Password Policy or Standard with clearly outlined complexity requirements and update frequency • banning the use of USB sticks for information transfer
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Keeping Workers at Work: Why Prevention is Better than Cure Heidi McCarney, Manager Health & Disability, Cowan Insurance Group
Heidi McCarney’s presentation focused on promoting wellness through proactive, rather than reactive, approaches to employee health and absenteeism. Employees are an organization’s biggest resource. The physical, psychological and financial costs of stress and mental health disorders to employees—and to the companies for which they work—are well-documented. Heidi began her presentation by pointing out that many employers have benefits and plans in place for employees when they are ill and totally disabled, but what are employers doing to prevent these disabilities in the first place? Employers are aware of the rising costs associated with having employees call in sick, and the effects that sick leave can have on company productivity and morality. Factors that negatively impact employee health include low employee engagement, more complex family situations, an aging population, an increase in sedentary-style employment, and the prevalence of physically inactive lifestyles. Pending government legislation in Ontario may further strain employer resources. Heidi discussed the difference between proactive and reactive approaches to employee health before turning her focus on stress. The ability of employees to manage and cope with stress can greatly affect absenteeism rates. Heidi discussed a number of common situations that could lead to unmanageable stress for an employee including actual physical or mental illness, an unhealthy lifestyle, the need to care for family members, personal emotional issues, are workplace conflict. She suggested that if these individuals could be identified early on, a proactive approach could help to keep them on the job.
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Heidi concluded that the best way to avoid sick policy abuse is to promote an attitude of compassion. Employers could attempt to: • make company policies clear and be available to answer questions • promote staff taking personal responsibility for improving their lives • become aware of, and responsive to, subtle indications of worker unhappiness or tension • research methods for reducing physical stress that workers may suffer on the job • provide training for management so they can deal perceptively and effectively with staff with unexplained sick leave • offer opportunities for in-house exercise • consider giving workers additional days off that are specifically for preventive health care as part of their annual benefits A proactive approach to employee well-being can benefit organizations. Heidi finished her presentation by encouraging employers to allow workers the flexibility to make up the time away from work if taken for legitimate reasons. Having a "responsible" option to make up lost time rather than using up valuable vacation time may help employees from using a sick day. 8
2017 GROUP BENEFITS CLIENT CONFERENCE
What’s #Trending? Top Trends That Will Shape Your Benefits Strategy in 2018 Don Williamson Principal and VP, National Benefits Consulting, The Williamson Group Taking the stage next was Don Williamson, with trends that he foresees shaping benefit strategies in 2018. Don began by explaining the importance of keeping a benefits philosophy updated and a benefits plan current. Don explained how a cohesive company culture is crucial to obtaining and retaining top talent in an increasingly competitive marketplace. He noted the importance of aligning a benefit plan with company culture, yet organizations often remain resistant to changing their plans over many years. Like any other strategic plan, a benefits plan should be revisited to see if it still remains true to a company’s vision and culture. Don recommended that a benefits strategy be revisited every three to five years, noting that a good opportunity to do so often occurs when considering benefit providers, who should also be an integral part of your benefits strategy. Do they fit with the benefits philosophy and culture of your organization? An effective benefits plan starts with a grounded and strategic benefits philosophy that incorporates an organization’s vision and desired outcomes. Does your plan only include catastrophic coverage for employees? What about Health and Dental benefits? Where does your organization fit on this continuum? A benefits philosophy makes answering questions regarding coverage details clearer and easier. It will help define the overall intent and purpose of the plan and help shape policies relating to corporate responsibility and employee accountability. Don discussed the use of advanced analytics and datagathering and the resulting concerns about privacy. Data that is analyzed correctly can provide insightful information to plan sponsors at key life moments, empowering employer and employees to understand their needs and options, and to take action. Don explained how data and analytics are being used by carriers to assist in fraud prevention and save clients millions of dollars. He discussed the role employers have to play in fraud prevention and urged employers to take measures and join in the fight against fraud, stating that with data and analytics the lines of responsibility are blurring. Employers and employees are equally responsible. Everyone has a role to play in fraud prevention. Don explained how data and analytics also play a part in prescription drugs and the tools that are available to help employers better manage their plans and the importance of making use of the tools that are available to make a positive impact on drug trend. Don also touched on the 9
topics of pharmacogenetics, PPN’s (Preferred Provider Networks) and PLN’s (Private Listing Agreements) and how these trends are impacting employer drug spend. Communication and technology are making comprehensive drug management more realistic, but keeping benefit plans sustainable remains a challenge. Don addressed legislative and political changes that are trending, such as OHIP+ and the impact of a minimum wage increase in Ontario, with its increased payroll costs and inevitable impact on profitability. He also discussed the growing number of high profile firms that are making mental health their focus and the constant challenge of effectively bring people back into the workplace and promoting a positive working environment. Don summed up his discussion of current trends by bringing it back to the beginning. Fast-paced change is prevalent. Any number of factors within an organization can change over the course of a single year, including organizational goals and objectives. Employees and organizations evolve over time; a company does not remain static and neither should their benefits plan or philosophy.
Who’s Your Data? The New DNA of Customer Experience
Laura Simon AVP, Digital Solutions & Customer Intelligence, Manulife Financial
The afternoon finished up with Laura Simon, who began with an overview about the prevalence of data and the ease with which it can be obtained. Laura questioned the validity of the data being found, as well as the usefulness of assumptions made based on this data, suggesting that people may have a tendency to share positive information, and to not disclose the negative. Laura used several celebrity examples and suggested that life is a stage. We may live under the microscope of social media, but it may not be a realistic view of what goes on behind the scenes. Data on its own is useless without the proper insights and interpretation, along with how we communicate things of value and how the data is used to help drive the outcomes that companies want to see. Using the example of Operation Disney Princess, Laura explained how client base knowledge, sophisticated data collection and predictive analytics are used daily to ensure customer satisfaction at the world’s most famous amusement park. She suggests that the best results happen when data can be used to help make the optimal end result possible. In the case of a carrier, or plan sponsor, it would mean a plan member living their best life possible. Laura explained how personalized experiences and insights will help build customer loyalty and brand recognition. Data collection and analysis can help shed light on moments that trigger important decisions, emotions and expectations in a plan member’s life. Transforming members into customers will depend upon an insurer’s ability to build relationships and brand loyalty built upon trust and the belief that a company provides unrivalled personal value that helps prepare them for life.
Analytics and insights will help reinforce value to sponsors by providing data about cost containment, improved employee productivity and statistics that prove value (ROI) of a benefits plan Laura then turned her attention to a common topic of the day—financial health. Using financial literacy as an example, Laura took a look at statistics to see how prepared Canadians are in terms of their finances and what impact the current flood of financial literacy programs and tools is having on Canadian spending habits. The conclusion—in spite of all the initiatives, statistics indicate that Canadians are still struggling with their finances and money issues remain the number one point of shame and embarrassment. All of which left Laura asking the question “if no one talks about it, how can we encourage enrollment in financial products?” Laura examined the known economic impact of mental health in the workplace, which is also another topic people are often ashamed to speak about. Unwell employees who work without the right support cost $15 to $25 billion annually in lost productivity to Canadian businesses—imagine the financial cost of those who are financially unwell. Are we missing the target when educating about financial wellness? Currently available financial tools and websites all focus on savings; however Laura suggests that the real discussion needs to be about spending habits, not savings habits. Tools need to be integrated with timely insights within a meaningful relevant context to provide results. By personalizing the experience for customers, data and analytics will be able to help remedy this situation through the use of predictive modeling and integrated education to give members meaningful insights about their life and what matters to them into future. 10
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2017
2017 GROUP BENEFITS CLIENT CONFERENCE
As is does every year, Think! 2017 ended with a Spin-Off style quiz game that engaged—and in some cases even stumped— the audience. At Think! our goal is to innovate, educate, and motivate through thought-leadership. We’re hopeful that this year’s edition helped bring details into focus, simplified the complex, and demonstrated that there’s always—more than meets the eye.