A: Voluntary benefits are often viewed as lower risk because they’re employee-paid and sit alongside core health and welfare plans rather than inside them. That perception can lead to lighter oversight of compensation structures, carrier arrangements, and administrative fees.
The exposure typically arises when compensation is indirect, embedded in premiums, or not clearly documented. As regulatory scrutiny and fee-related litigation continue to expand, voluntary programs are increasingly being examined through the same fiduciary lens applied to other ERISA-covered benefits. That includes how vendors are selected, how compensation is structured, and whether the sponsor has exercised appropriate oversight.
A disciplined review doesn’t mean something is wrong. It means ensuring that fee arrangements are transparent, reasonable, and well-documented. SBA helps plan sponsors evaluate voluntary benefit structures, understand how compensation flows, and confirm that governance practices are aligned with evolving expectations—reducing the likelihood of unpleasant surprises down the road.
A: The answer starts with understanding what you’re paying for. Actuarial services typically include a mix of routine work and more complex, non-routine projects, and the effort required can vary significantly between the two.
At a basic level, it helps to separate routine services from non-routine work. Routine services include annual valuations, required filings, and standard compliance deliverables. These tend to be more predictable and easier to benchmark. Non-routine work—such as special projects, plan changes, or unique calculations—can vary significantly depending on the situation.
From there, the question becomes whether the scope of services, level of expertise, and amount of effort align with what you’re being charged. Clear documentation, defined deliverables, and transparency around fee structure, including hourly consulting rates, are key. SBA helps plan sponsors evaluate these arrangements, compare them to market practices, and ensure fees are aligned with the value being delivered.
A: Don’t treat renewals as routine. They’re a chance to revisit pricing, scope, and performance and push for terms that reflect your current priorities. SBA conducts detailed contract reviews and brings deep negotiation experience to help plan sponsors secure stronger, more accountable agreements.
Contract renewals are often rushed, but they shouldn’t be. They represent a key opportunity to reassess not only pricing, but also service levels, risk exposure, and whether the vendor relationship still meets your evolving needs. That means reviewing vendor performance against SLAs, comparing current rates to market benchmarks, and identifying areas where the terms no longer serve you.
SBA takes a line-by-line approach to contract evaluation, flagging vague language, misaligned incentives, and overlooked liabilities. With experience negotiating hundreds of contracts across the HR and benefits space, we help plan sponsors enter renewal conversations with confidence—and come away with agreements designed to support long-term performance, transparency, and accountability.