Multinational Pooling: your ticket to lower costs and greater control over your employee benefits

Welcome to the exciting world of multinational pooling. If you’ve heard of it before but thought it was out of reach, or if you’re just curious to learn more, you’re in the right place. We’re about to break it down for you, making it as simple as possible. So, buckle up and get ready to explore how multinational pooling can revolutionise your approach to managing employee benefits.

Let’s dive into the game-changing world of multinational pooling. It’s all about linking together group insurance contracts from different countries under one multinational corporation. Sound complex? Stick with me, it’s worth it.

Imagine this: You’re a multinational corporation, and you’re tired of the high premiums and underwriting restrictions that come with insuring smaller groups of employees in different countries. Enter multinational pooling. It’s your ticket to cost savings and a whole lot more.

Here’s how it works: Each local benefit plan is insured with an insurer that’s part of a network. Every year, the network creates a ‘multinational account’ for you. It shows the total premiums paid, total claims paid, and other financial details. After deducting expenses and risk exposure, any leftover cash is yours as an ‘international dividend’. If there’s a deficit, no sweat, you don’t pay extra.

But wait, there’s more. Multinational pooling isn’t just about cost savings. It’s about power. It gives you greater influence with local insurers. It simplifies the transfer of staff across borders. It provides improved surrender values. And it gives you invaluable financial information for each employee benefit policy in the pool.

Now, I won’t sugar-coat it. There are limitations. To pool with a network, each insurance contract must be underwritten by the local member insurer of that network. This might mean a change of local insurer for some of your operating companies. And let’s be real, change can be tough. But remember, no risk, no reward.

Before we move on, let’s talk about the importance of a global benefit management platform in the administration of a global pool. Having a robust, user-friendly platform is like having a command centre at your fingertips. It streamlines the management of your multinational pool, making it easier to track, analyse, and optimise your employee benefits. It’s not just about making your life easier – it’s about empowering you to make smarter, data-driven decisions.

So, are you ready to shake things up with multinational pooling? It’s a bold move, but it could be the key to unlocking the full potential of your employee benefits. We can help you get started – just drop us a message and we’ll be in touch to see how we can help.

Want to learn more about multinational pooling? Download our free guide below!