Segal Company

Third Party Administrator Searches

Whether you are already using a third party administrator (TPA) or considering outsourcing your benefits administration operations or a single function, such as pension, claims, contribution processing,  for the first time, Segal can help you conduct a proper search and selection process.

While there are a wide variety of TPAs in the benefits administration market, not all of them have experience with multi-employer funds. And though many are experts at processing health claims, they may not also have experience with pension or savings plans, billing and collecting employer contributions, or maintenance of eligibility through hours banks or hourly contributions.
With our extensive knowledge of the TPA vendor market, pricing structure, services, technology and more, Segal can help you wade through the options and identify the best fit for your particular needs.

How can you tell if it's time to take a fresh look at the TPA marketplace?

  • Service issues, such as inquiries going unanswered, processing errors and/or backlogs, lack of service innovation, or a sense that your TPA is not keeping up with the times
  • Financial and regulatory concerns, including large fee increases, frequent "pass-through" charges for special programming or regulatory compliance, or slow and/or inadequate compliance efforts
  • Reporting and technology issues, such as mistakes and inaccuracies in reports, delays in providing actuarial data, inability to create ad hoc reports, reliance on manual processes and other technology limitations

Our Approach

A TPA search by Segal consists of the following steps:

  • Documenting Administrative Requirements: Identifying the general and unique administrative requirements of your plans. Our RFPs go beyond the typical questions about price and performance to inquire about quality-of-service measures, financial status, experience, technology, staffing levels and training, audit controls, regulatory compliance and ability to deliver self-service, web-based applications.
  • Developing the Request for Proposal (RFP): Drafting the RFP, identifying potential TPAs based on size, geography, experience, etc., and distributing the RFP to a select group of TPAs.
  • Vendor Selection: Analyzing vendor responses and facilitating the finalist interview and due diligence process.
  • Contract Negotiations: Using our industry knowledge to assist with price and performance guarantee negotiations and technical contract analysis.
  • Implementation: Resolving disputes and monitoring progress to ensure a timely and successful implementation.
  • Project Management: Assisting with planning and managing all phases of the TPA search process.