By Kate Kellner
Employer group healthcare plans have been the way American families get the care they need, when they need it – from annual physicals, childbirth, complex surgeries, and dialysis to
end-of-life care. These plans have been the catalyst for so many personal successes, but what happens when big questions arise? “I’m eligible for Medicare. What should I do?” “My wife went into premature labor; our baby will be in the NICU for months. How can we do this?” FEDLogic is the employer-offered benefit that serves as a resource for when the employer’s benefit plan may no longer be the best solution.
OUR STORY
FEDlogic was founded in 2015 to transform the way companies support their employees in navigating their federal and state benefits. Co-founder Frank Cardenas learned first-hand about the struggles families face in navigating benefits. Frank’s sister Alex was born with a severe developmental disability that rendered her unable to work and support herself. Frank’s family did their best to advocate for her and make sure her needs were met, but living in a rural community with limited resources, they struggled to receive benefits that would improve her quality of life.
While working at the US Social Security Administration (“SSA”), he and his family learned Alex missed out on four to five years of benefits. His family didn’t know all the rules for SSI, and they didn’t have anyone advocating for them at the federal or state level.
At SSA, there simply aren’t enough people to handle the volume of work. To effectively serve the American public, their focus must be on quantity instead of quality. There isn’t enough time to answer questions and ensure that everyone understands the benefits for which they are filing. Additionally, SSA is unable to provide advice and strategy when filing applications for benefits like Retirement and Medicare. After a 10-year career with SSA, Frank and his wife Elizabeth founded FEDlogic. Today, FEDlogic is proud to fulfill its mission to provide families with unlimited and unbiased access to the knowledge of its experts at no cost to the family.
Because FEDlogic is a benefit provided by employers to their employees, they can provide these consultations with subject matter experts and spend time helping them understand the benefits they have earned and deserve. The primary objective is to help people, especially during times of need and vulnerability.
THE NEED
FEDlogic has identified the need for healthcare avenues with better coverage and lower costs. Right now, employers cover about 70% of healthcare costs, with large claims increasing 12-14% per year for events like End Stage Renal Disease (ESRD), Amyotrophic Lateral Sclerosis (ALS), cancer, and Medicare-age claims. According to Social Security, one in four employees will become disabled before reaching retirement age. Employees and their dependents can generate high-cost healthcare claims which may otherwise be covered by disability. At least 20% of employees aged 65 and older may be unaware they can continue working, but elect Medicare as their primary insurance. Medicare and Social Security Retirement education is key.
LANDSCAPE & IMPACT
In 2022, FEDlogic commissioned the actuarial firm Perr & Knight to complete an exhaustive independent analysis of self-funded group healthcare plans and trends in high-cost claims. They found instances in which an individual has over one million dollars in healthcare claims in a single year are becoming more common. 89% of those million-dollar claims are generated by individuals who are under the age of 60. The number of high-cost claims is rising faster than standard medical inflation; people below standard Medicare age who are eligible for federal programs have claims costs three to four times higher than the general US population. This information is surprising to many because, traditionally, employers and insurers have believed Medicare-aged individuals have the highest cost claims.
According to the actuarial analysis, employers can conservatively estimate savings of $26,400 for everyone who transitions off their group health plan. Historically, one third of individuals who consult with FEDlogic find a preferable healthcare avenue than their current employer plan.
OUR SERVICES
“Our company was started to help someone work out a federal government benefit puzzle. We continue today using those same tools on a much broader scale. We’ve learned over the past nine years how making healthcare coverage decisions that are right for them can be intimidating for people who are facing retirement, dealing with a life-altering disease, or facing a catastrophic change. What we’ve also discovered is that information from a trusted and knowledgeable source can give them the confidence to decide and overcome their fear and hesitance,”
Frank Cardenas, co-founder & CEO of FEDlogic
All FEDlogic experts have held technical and leadership roles within the US Social Security Administration and other government programs. Those experts have a cumulative average of 25 years of experience; they understand the policies and requirements from the inside-out and can provide unparalleled practical guidance and insight. Consultations are phone and email based, and are unlimited, confidential, and no-cost to an employee and their household members.
Consultations can be completed on the spot or scheduled at the employee’s convenience. An expert is available through the entire process from application through completion. Employees can trust FEDlogic because they do not sell, endorse, or promote any products or services.
FEDlogic’s goal is to provide unbiased education to support families in navigating their benefit options.
FEDlogic provides consultations and personalized planning for a multitude of state and federal benefits including, but not limited to:
- Social Security Disability
- Social Security Retirement
- Supplemental Security Benefits (SSI)
- Medicare
- Medicaid
- State Specific Benefits
- Unemployment
- End Stage Renal Disease (ESRD)
- Amyotrophic Lateral Sclerosis (ALS)
- Cancer
- Premature Baby Births
- Veterans Benefits
- Tribal Benefits
“A mother with three young children lost her husband who was their sole provider and carrier of their health insurance. She reached out for help with possible federal benefits amid her grief. As I comforted her, I explained that we will walk her through educating and maximizing every possible federal benefit they are eligible to receive. This mother was troubled that she had no income to sustain her family, but I was able to assist her with applications for mother-in-care benefits, survivor benefits for each child, and health insurance through Medicaid.”
Jermaine Boyd, Vice President of Services at FEDlogic
IMPLEMENTATION & ENGAGEMENT
FEDlogic provides personalized implementation strategies that include co-branded marketing materials, an informative audio series, and open enrollment and benefit fair support for their clients. Their newest engagement opportunity is highly popular – educational monthly live webinars. Held on the last Wednesday of each month, FEDlogic’s webinars allow employees to learn about the service and ask questions. Recorded webinars are stored in their employee resources portal and accessible for those unable to attend the live sessions.
“I can only say – “wow”! I am very impressed with the presentation you gave today. I only know the basics of Social Security retirement rules and benefit provisions and was looking forward to learning more today. You absolutely delivered exactly what I needed.
You specifically answered several questions I have pondered for the last several years! I believe that this webinar series is the best way to get FEDlogic in front of our population and thank you again for providing this service.”
Linda Long, SHRM-CP, PHR, Benefits Manager, CNHI, LLC
GROWTH & FUTURE
As of 2022, average savings with FEDlogic was a five to one return on investment and a 98.4% service renewal rate. FEDlogic proudly serves more than 300 employers and 550,000 families nationwide. Their service is available to companies of all sizes and industries. Their client roster is diverse and includes manufacturers, transportation companies, hospital systems, retailers, financial institutions, educational systems, municipalities, and many more. During the first quarter of 2023, FEDlogic provided 1,354 consultations resulting in 356 transitions from employer group health plans to alternative healthcare options. That is a transition rate of 31.5% and an employer savings of $9,398,400 (almost 8 to 1 return on investment in the quarter).
FEDlogic continues to position itself as a premier benefit option for employers. They are now more agile and accessible than ever before, leading to higher engagement and an improved employee experience. They have completely updated their service support system and brought on a finessed reporting system that provides in-depth views of engagement and savings for easy tracking. FEDlogic has also expanded their operations and service team in direct support of their customized engagement approach.
Best-in-class employers use FEDlogic. They show their employees and peers they are an innovative and superior benefit provider by offering this service to their employees and their households. They save substantially on healthcare claims costs; though that end is neither FEDlogic’s goal, nor their intention. It is easy to see why FEDlogic is embraced by both Human Resources and Finance Departments alike.
To learn more about FEDlogic and how it might work for your company and within your benefit structure, visit their website; fedlogicgroup.com; email [email protected]; or call Anita Blackmer at (615) 948-3648.
FedLogic Group
[email protected]
www.fedlogicgroup.com
