When was the last time you reviewed your employee benefits? Plans for benefits such as death in service, private medical insurance and permanent health insurance schemes, for example, are annually renewable plans. Just like your car and household insurance, policy details may change from year to year. It’s important to continue to shop around in order to get the best deal. A re-broking exercise will usually generate significant savings.

At HFS Milbourne Financial Services, we have been surprised by the number of companies who have set up benefits without a process in place to review their policies on a regular basis – either in terms of service or cost. Clients continue to pay for the benefits, even when premiums go up. In our experience, a re-broking exercise can knock off up to 30% of costs.

Selecting the right employee benefits

If you don’t currently offer any employee benefits or are thinking about extending the list on offer, take time to assess benefits that will appeal to current and potential employees. The most popular benefits are pensions and private medical insurance – but selecting the packages that are most appropriate for your staff requires specialist help. There are so many different options available.


When it comes to pensions, the starting point is usually to offer staff 3% subject to the employee matching this amount. Higher limits may be offered to senior staff. The easiest way to set up a company scheme is to establish a Group Personal Pension. This will give valuable benefits for employees. Group pension schemes are now web-based, keeping administration and administration costs to a minimum.

Private Medical Insurance

The basic rule for private medical insurance is that you get what you pay for. There’s a wide range of different insurance schemes to choose from – ranging from basic cover right through to the luxury end of the market, where medical, dentistry and eye care are all included in the policy.

It is worth bearing in mind that even a small group private medical scheme will give significant discounts compared to individual cover. We recently arranged a group scheme for four directors, replacing their individual policies. Under the group scheme, the same cover with the same provider showed a 50% reduction in premiums.

An Ongoing Process

Benefits are a key element for attracting and retaining the best staff but it is important to ensure that you have the best deals available by conducting regular reviews.

HFS Milbourne offers free employee benefits reviews and can provide impartial advice about a wide range of benefits.

For further details, please contact Rod Milne on 01483 468888.