As HR leaders and benefits managers plan their employee offerings for the upcoming year, financing new benefits tends to be a major hurdle. Budgets are tight these days, and adding innovative, high-impact solutions often requires creative strategies to stretch every dollar.

However, there’s one underused financial tool that can help fund new benefits without increasing your total spend: Carrier credits.

 

What are carrier credits and why do they matter?

Carrier credits are incentives, rebates, or funds offered by insurance carriers or benefit vendors to employers, typically as part of contract negotiations, plan renewals, or volume agreements. These credits can take several forms, including premium rebates, wellness incentives, and budget-neutral innovation funds. Essentially, they are dollars your organization has earned or negotiated through your insurance or vendor relationships—funds that can be redirected to new or enhanced benefits without impacting your bottom line.

For employers looking to add family caregiving benefits like Cleo, tapping into these carrier credits can be a game changer. Rather than waiting for a larger budget allocation or annual open enrollment window, carrier credits open the door to piloting or expanding benefits earlier and more flexibly.

 

Types of carrier credits to explore

There isn’t a one-size-fits-all approach when it comes to carrier credits, but here are some common types to consider:

Premium rebates: Some carriers provide rebates when claims costs come in below projected levels. These rebates can sometimes be applied to fund other benefits or wellness programs.

Wellness and engagement incentives: Many carriers reward employers who meet specific health and engagement benchmarks with credits that can be reinvested in additional employee health or support services.

Value-based credits: Emerging insurance models often include value-based agreements where carriers share savings or offer credits for programs proven to improve employee health outcomes and reduce utilization.

Administrative or budget-neutral funds: Occasionally, carriers offer credits or discounts for adopting innovative benefit solutions that align with their own strategic priorities or regulatory goals.

 

How to find out if your organization has carrier credits available

The first step is to review your current insurance contracts and renewal documents. Look for clauses referencing rebates, credits, or incentive programs. If your company works with a broker or benefits consultant, they can be an excellent resource to identify and quantify available credits.

Next, reach out directly to your insurance carrier or vendor account representatives. Ask specifically about any credit programs, wellness incentives, or rebates tied to your plans. Sometimes these funds are not automatically applied or communicated proactively, so it pays to inquire.

Finally, coordinate internally with finance, procurement, and benefits teams to ensure a clear understanding of what credits exist, how they are tracked, and the process for accessing and applying them toward new benefits.

 

Leveraging carrier credits to pay for Cleo

Cleo’s comprehensive family caregiving support program is designed to fit into employers’ existing benefits ecosystems seamlessly—and importantly, it can be implemented any time during the year, not just during open enrollment or on a January 1 start date.

By leveraging carrier credits, you can offset or fully cover the cost of adding Cleo to your benefit mix without impacting your budget planning cycle. Our team partners closely with your HR and benefits leaders to craft a tailored implementation plan that reflects your workforce’s unique caregiving needs and maximizes member engagement and satisfaction.

This approach means you don’t have to wait for a traditional renewal or budget cycle to launch a meaningful, innovative caregiving benefit. Instead, you can act quickly to meet your employees’ evolving needs while making the most of financial incentives already available to you.

 

Thinking beyond the budget to invest in your workforce

Carrier credits represent an underutilized opportunity for employers ready to innovate their benefit offerings without stretching their budgets. By understanding what credits you have, how they work, and how to apply them strategically, you can unlock new ways to invest in your workforce’s health, well-being, and productivity.

Family caregiving support with Cleo is just one example of a high-impact benefit you can bring to life through carrier credits. Taking a proactive approach to financing benefits in this way positions your organization as a forward-thinking employer, ready to support employees holistically and retain top talent.

If you’re interested in learning more about how to identify and access carrier credits or how Cleo can fit into your benefits strategy year-round, we’re here to help. Reach out to start a conversation tailored to your organization’s goals and workforce needs.