Validation Institute has launched the "Fiduciary Validation for Benefits Firms" program to help employers make more informed decisions about their benefits. The program identifies fee-based firms that operate transparently and independently, ensuring they receive unbiased advice and value.
NEEDHAM, Mass., Feb. 18, 2025 /PRNewswire-PRWeb/ -- To empower employers to make more informed decisions about their employee benefits, Validation Institute (VI) today announced a new program, "Fiduciary Validation for Benefits Firms." This initiative identifies and validates fee-based benefits firms that operate with transparency and objectivity, ensuring employers get the best value and advice, free from vendor, carrier and PBM influence.
Under new guidelines, Validation Institute will evaluate the revenue models of benefits firms that provide consulting and procurement services for employers. Those that comply with federal law by accepting compensation only from employers — not vendors or carriers or PBMs — will be validated. Furthermore, to give employers peace of mind, validated firms will be backed by a strong $100,000 credibility guarantee from the Institute, demonstrating its commitment to quality and trust.
"Benefits firms heavily influence which products employers purchase for their workforce, and Validation Institute wants to make it easier for them to identify benefits firms whose revenue models align to help them achieve their objectives," said Al Lewis, CEO, Validation Institute. "We are proud to provide this service for employers so they can improve the financial and physical health of their organizations," Mr. Lewis continued.
"Going back to the 1950s, employers have used benefits firms — mostly brokers — to help them evaluate products and get the most value for their money," said Donovan Pyle, CEO of Health Compass Consulting, and Chair of Validation Institute's "Certified Health Value Professional" Advisory Board. "The challenge is that most employers work with benefits firms who accept compensation from suppliers, which undermines their ability to give employers objective advice on how to effectively finance and procure healthcare for employees," Mr. Pyle elaborated.
Validated benefits firms are best equipped to help employers fulfill their fiduciary responsibilities, reduce costs, and improve value for employees. More information on the Fiduciary Validation for Benefits Firms is available at https://validationinstitute.com/hot-topics/validation/fiduciary-validated-benefits-firms-requirements
About Validation Institute
Validation Institute provides unbiased, data-driven insights on healthcare solutions and services by validating performance claims made by healthcare solution providers, and educating purchasers to drive transparency in the marketplace and maximize cost-savings. Learn more at https://validationinstitute.com
Media Contact
Sean Edwards, Validation Institute, 781-939-2618, [email protected], https://validationinstitute.com/hot-topics/validation/fiduciary-validated-benefits-firms-requirements
SOURCE Validation Institute
Share this article