In order to be competitive with other businesses in securing the best employees, the volunteer sector needs to find a way to improve access to employee benefit and retirement plans. It is well known that organizations that offer employee health benefits through a group insurance plan tend to attract and retain workers to a much greater degree than companies that do not. Unfortunately, only about half of all people working in Canadian non-profit organizations have access to employee insurance plans such as life or disability insurance, dental plans, or supplementary medical plans. Additionally, many not-for-profit groups find securing benefits for their employees difficult due to insurance carriers' reluctance to provide insurance to non-profits. There are few studies in Canada that outline the barriers the non-profit sector faces in obtaining employee health benefit plans for their workers. However, one report from HRVS (Developing Human Resources in the Voluntary Sector) interviewed a variety of stakeholders, including volunteer and not-for-profit associations, plan managers, brokers and insurance carriers for their input regarding the issues and barriers affecting the acquisition and management of employee benefits in the volunteer and non-profit sector. The HRVS study concluded that there is a definite need for affordable insurance plans geared to small organizations that offer a reasonable level of insurance benefits. Additionally, it found that the insurance industry viewed the non-profit sector as a less than ideal market because not-for-profit organizations are viewed to be a higher risk. This is believed to be the case since many non-profits are small groups with little or no experience administrating employee health benefits and because the lower average wage paid by many not-for-profit groups means workers have less capacity to contribute to premiums. There is also the perception that not-for-profit groups are in some way less financially astute than for-profit organizations. Insurance brokers interviewed for the study felt that educating insurance carriers about not-for-profit groups could help to alleviate the industries reluctance to insure. They also believed that brokers needed to accept new ways of conducting business to best serve the needs of their not-for-profit clients. Thankfully, there are Canadian employee benefit consulting firms that are aware of the industry's lack of enthusiasm when it comes to insuring non-profits. Consulting firms of this nature work closely with non-profit organizations to determine the specific needs of the employees, and the company as a whole, regarding employee benefits, the insurance market, and risk management. Once a thorough understanding of the non-profit organization is gained, the employee benefit consulting firm brings together seasoned professionals with local expertise to provide a responsive and competitive benefits package that will best meet the needs of the non-profit organization. Not-for-profits, even those with strong financial records, often have a difficult time securing health benefits. However, Canadian employee benefit consulting firms are able to aid in this process by soliciting competitive proposals and offering support to non-profit organizations. The ability to offer employees an attractive benefit package is important for any company that wishes to attract and maintain the best work force. For not-for-profit organizations, securing these benefits can be difficult. Nevertheless, with the help of a knowledgeable insurance broker, not-for-profit groups can establish a viable plan that is tailored to fit the needs of their employees. The right broker will design a suitable plan, help with the administration and provide all the assistance and education required to make the benefits plan a success.
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