Posted By :
Comments : Off

Hello HR and Payroll professionals, how would you like to eliminate your voluntary benefits bill…forever?

Think about it; with payroll deduction, the insurance company asks you to be their banker – collecting and remitting funds – and accountant – reconciling and paying bills – for free. 

With Piedmont’s split direct deposit service, you are completely removed from the  complicated billing and reconciliation process and no longer collect and remit premiums to the insurance company every month. 

That feature is simply, Split Direct Deposit, you know the ability for employees to split their pay among multiple accounts.  It is mostly used for savings purposes, but can now be used to handle employee benefit payments, again removing you from being the banker and accountant on behalf of the insurance company.

Split direct deposit is gaining popularity as the next generation model for voluntary benefits because it eliminates the employer billing and reconciliation process entirely.  Remember, billing continues to be the #1 source of frustration among voluntary benefit clients like yourself.  In fact, over 50% of VB account defections cite “billing issues” as the primary reason for dropping coverage…let’s be honest, everyone has their own personal billing issue story when it comes to this type of insurance.

How popular is Split Direct Deposit?  According to the Electronic Payments Association, 82% of Americans are now paid by direct deposit – and 24% of those people now use split direct deposit for their insurance and financial needs.  So today, 1 in five working Americans use split direct deposit.  It’s easy, it’s clean, and it’s effective.  Furthermore, 72% of those who use split direct deposit say they will continue to do so.  Every day, the traditional payroll deduction market shrinks and split direct deposit grows in popularity.  In fact, one state government has already ceased all payroll deductions on supplemental benefits.  And why not?  The Piedmont model takes the employer out of the billing process entirely.

Piedmont, an Inc. 5000 fastest-growing company in America for 3 years in a row, is the Original Payroll Deduction Alternative and the market leader in split direct deposit premium administration.  Collectively, we have the experience of over 10,000 accounts under belt.  And we offer our split direct deposit services down to three lives – as opposed to others that limit their services to groups with more than 100 or even 250 lives. With 20% of Americans now using split direct deposit within their paycheck, we are at the tipping point when it comes to using this model for employee-paid benefits.  Ask your agent or broker about our zero-bill solutions like Piedmont’s split direct deposit services.  

This Post was edited from a previous post.

About the Author