Health & Benefits

  • Biotech
    Health & Benefits

    For a private Long Island-based biotech firm with 350 employees, we converted their health benefits program from fully insured to self-funding to avoid significant ACA taxes while maintaining annual health insurance costs, benefit levels and prior year employee contributions amounts. Annual savings due to the avoidance of ACA taxes, state taxes and insuring company’s risk charge was $367,000.

  • Financial Services
    Health & Benefits

    For New York City-based financial services firm with 800 employees, we conducted our proprietary Affordable Care Impact analysis which forecasted a potential Cadillac Tax impact of over $1M in 2018.  Working closely with the executive management helping them to understand the potential risk, we instituted strategic changes to their health and benefits program that lowered costs, kept the benefits market appropriate and improved the perception of the program with employees.

  • Financial Services
    Health & Benefits

    For a New York City-based national financial services firm, we performed a harmonization project to bring two large financial services firm’s benefits programs together with a combined 13,000 employees.  The result was an integrated, lower cost program.

  • Higher Education
    Health & Benefits

    For a Long Island-based college with 500 employees, we consolidated their medical programs, significantly reducing medical costs ($550,000) while increasing benefits to employee population.  Contribution to employees remained unchanged.

  • Publishing
    Health & Benefits

    For a New York City-based publishing firm with 200 employees, we successfully lifted them out of a Professional Employer Organization (“PEO”), replicating their pre-existing health benefits plan, improving overall performance, aiding employee retention and saving the company approximately $1M annually.

  • Waste Management
    Health & Benefits

    For New England-based waste management company with 1300 employees, we converted their health and benefits program from minimum premium to self-funding to significantly reduce fixed costs while maintaining the same insurance carrier and level of benefits achieving over $1M in annual savings.

Retirement Plan Services

  • Construction
    Retirement Plan Services

    For a Manhattan-based construction company we successfully improved a retirement plan by creating an investment menu with an average expense ratio of 63 basis points (0.63%) which represented a reduction of 57 basis points (0.57%).  In addition to reducing the expenses of the investment options overall investment performance was greatly improved.

  • Hospital Network
    Retirement Plan Services

    For a Philadelphia-based network of hospitals and health centers we consolidated and created a prudent and unified investment policy, working together with doctors, their personal financial planners, as well as hospital staff, in order to improve cost-effectiveness, while greatly reducing potential liabilities on behalf of the network.

  • Investment Services
    Retirement Plan Services

    For a Los Angeles-based investment firm we generated over $1M in additional qualified plan contributions for their 11 partners.  Additional contributions for the employees were less than $70,000 so 93% of the new contributions were for the benefit of the partners and created a tax savings in excess of $450,000.

  • Labor Union
    Retirement Plan Services

    For a New York-based labor organization we transitioned their retirement plan from a traditional valuation (once a year valuation with no website access) to a daily valuation system that now provides plan participants with 24/7 access to their accounts using their mobile devices or a union branded participant website.  In helping participants secure their retirement, we provided regular educational seminars which greatly increased member participation.

  • Law Firm
    Retirement Plan Services

    For a Manhattan-based law firm we generated $1 million in additional qualified plan contributions for the 8 partners.  Additional contributions for the employees were less than $110,000.00 so 90% of the new contributions were for the benefit of the partners and created a tax savings in excess of $450,000.

  • Private Equity Firm
    Retirement Plan Services

    For a Manhattan-based private equity firm that specializes in North American information, education and media industries we coordinate and provide benefit plans to build more efficient, cost-effective, and personalized benefits to various companies and thousands of employees in North America.

Compensation & Human Capital

  • Banking
    Compensation & Human Capital

    For a metro New York-based bank with over 80 branches we provided Human Capital Management System consulting, conducting discovery, overseeing vendor review, cost analysis and negotiation through the selection process.  The scope of our consulting included implementing applicant tracking, online recruiting, onboarding, open enrollment, benefits administration and performance management.  The client was so thrilled with our work that they continued our engagement as implementation advisers.

  • Broadcasting
    Compensation & Human Capital

    For a New York City-based national cable television network, we conducted a strategic review of compensation and benefits programs with the project resulting in a major shift from fixed to variable pay including new short and long term incentive plans and equity-based compensation plans. We also developed a comprehensive Human Resources approach which helped to build their new media business.

  • Cosmetics
    Compensation & Human Capital

    For a Manhattan-based cosmetics company we developed executive compensation plans to meet business and organization objectives. Programs developed included market based total compensation programs, annual incentive plans, long term programs (including equity) and salary administration systems that enabled them to attract and retain key talent.

  • Franchising
    Compensation & Human Capital

    For a New York City-based franchisor, we developed sales and service incentive plans, including performance measures, as well as implementation and communication plans.  We also developed a high-profile contest to launch the effort — our overall work enabled the business to reduce costs, stabilize the workforce and begin to grow the business again.

  • International Trade
    Compensation & Human Capital

    For a Japanese-based global trading company that needed to understand and manage compensation throughout its network of subsidiaries we developed a corporate oversight process to manage executive compensation in diverse, autonomous subsidiaries, including: corporate standards and review processes, we also evaluated and re-designed individual incentive plans that met their corporate and subsidiary objectives.

  • International Bank
    Compensation & Human Capital

    For a Dubai-based international bank, we successfully integrated the management team of an acquired bank.  Using an incentive plan that rewarded achievement of integration synergies and employment agreements that exchanged old stock options for new company phantom units we retained substantially all the key execs and built a cohesive team.

  • Manufacturer – Automotive Parts
    Compensation & Human Capital

    For a Virginia-based ESOP (Employee Stock Ownership Plan) automotive parts manufacturing company we were able to significantly improve productivity with an annual bonus plan based on key production metrics.  ESOPs can be great for retention and problematic for change management.  By focusing on team measures, we were able to change behavior and improve results while maintaining company culture.

  • Non-Profit
    Compensation & Human Capital

    For an upstate New York-based non-profit institution we designed market-aligned compensation structures that met the organization’s retention and recruitment goals. The correction of internal equities was widely accepted by leadership and staff who felt the old system favored new hires over current employee candidates.

  • Real Estate (REIT Trust)
    Compensation & Human Capital

    For a New York City-based public REIT (Real Estate Investment Trust) we reviewed board director compensation practices and recommended strategic changes to ensure market competitiveness and effective governance that enabled the company to effectively respond to proxy advisor criticism and maintain shareholder support for existing directors. 

Private Client Services

  • Commercial Real Estate
    Private Client Services

    For a New York City-based commercial real estate executive and developer, we were able to consolidate multiple life insurance policies that were functionally obsolete.  Through a consolidation process the client was able to benefit from a more effective and efficient solution.

  • Entertainment
    Private Client Services

    For a California-based entertainment executive we conducted a review of existing life, disability and long term care insurance programs.  Underwriting anomalies were identified; gaps in coverage, overlooked discounts and mischaracterized contract designations were spotted.  As a result, outlay was reduced by 23% while providing the flexibility in design that the executive was only hoping to achieve.

  • Insurance
    Private Client Services

    For a Manhattan-based CEO of a nationally recognized health care insurance provider we were able to work in concert with his trusted advisors to mitigate the impact of federal and state estate taxes while taking advantage of gifting, charitable planning as well as wealth preservation strategies.  This same CEO recounted his satisfaction at a client advisory board meeting just a week after the project was completed leading to additional executive planning.

  • Manufacturer – Aviation Parts
    Private Client Services

    For a New York City-based privately owned Manufacturer of aviation products we developed a business succession plan to address transition as well as personal planning goals for the founder and his family.  Custom crafted insurance solutions were implemented to prepare for the liquidity needs for an exit strategy, death and inability to work.  As a result of the diligence, a major supplier’s concerns were addressed and resulted in a long term contract extension.

  • Manufacturer – Medical Devices
    Private Client Services

    For a Massachusetts-based manufacturer of medical devices, we were able to create an executive bonus program to help reward, retain and attract talent.  The section 162 bonus plan provided just the right amount of flexibility while providing enough control through a cliff vesting schedule.  The competitive forces for luring talent in this environment were now shifted in their favor.

  • Manufacturer - Vitamins
    Private Client Services

    For a New Jersey-based manufacturer of vitamins and nutritional supplements, our team was selected by their CPA after interviewing two other national consulting firms.  They had concluded that our model of professional and independent advice was just what they sought to acquire the best for the client and protect the fiduciary responsibilities of the trustees.

  • Retail
    Private Client Services

    A Texas-based CEO of a national retail chain that was part of a large private equity transaction needed to secure key person coverage in a timely fashion while being sensitive to the nature of the deal.  Our team of attorneys, senior advisers, underwriters, plan designers and analysts were able to meet the requirement in an unprecedented, discrete manner.

  • Wealth Management
    Private Client Services

    For a successful Manhattan-based wealth management advisor with a special needs child we were able to work in concert with his trust and estates attorney to alleviate worries.  The attorney drafted a special needs trust while we advised on the strategy to fund their future financial needs.  The advisor was so impressed with our strategy and professional acumen that he continually looks to us as a trusted and valued resource.

  • Wholesale Plumbing Supply
    Private Client Services

    For a Long Island-based family-owned wholesale plumbing supply business, we reviewed their existing partnership agreement and recommended strategic planning that guided the brothers/owners to a solution that eased their minds and comforted their families to know that proper planning was done.

Risk Management

  • Accounting
    Risk Management Consulting – Personal Lines

    For a nationally recognized accounting firm with over 250 partners and more than $500M in revenue we successfully implemented a group personal umbrella liability program that allowed each partner to select a unique limit of coverage.   Individual underwriting of driving records and claims experience are not considered and the premium per participant is less than half the cost of similar coverage purchased individually.

  • Advertising
    Risk Management Consulting – Commercial Lines

    For a large national ad agency we successfully extended directors & officers liability coverage after a going-private transaction that had previously been deferred due to disputes among shareholders. The in-force policy provided for a one-year extension and we negotiated a six-year extension to match the applicable statute of limitations.

  • Architecture
    Risk Management Consulting – Commercial Lines

    For a Manhattan-based international architectural design firm with nearly 200 employees, we reduced the cost of professional liability coverage by 40%. The premium reduction was accomplished by challenging the insurers to redefine a significant portion of revenue in a more favorable category that was reflective of the actual exposure to a professional liability loss.

  • Hedge Fund
    Risk Management Consulting – Commercial Lines

    For a Manhattan-based hedge fund with over $10M we successfully negotiated terms for workers’ compensation coverage in assets that reduced their annual cost of coverage by 45%.  The reduction in cost was achieved through a private ruling which resulted in a favorable premium calculation and dividend payments based upon claims experience.

  • Manufacturer - Military Aerospace
    Risk Management Consulting – Commercial Lines

    For a California-based manufacturer of military aerospace parts who sold to the federal government we successfully negotiated coverage utilizing our knowledge of the potential products liability immunities.  Compared to terms provided by other insurers, our program reduced the cost by 85% and eliminated a $100,000 deductible.

  • Pharmaceutical
    Risk Management Consulting – Personal Lines

    For a Fortune 1000 pharmaceutical executive we successfully redesigned a personal insurance program which broadened the coverage and eliminated coverage gaps without changing cost.  The redesigned program was consolidated with a single carrier to take advantage of account credits and provided leverage to insure a residence in a catastrophe prone area.  Also, for a home that was under-insured, the coverage limit was tripled, $10M of umbrella liability coverage was added — which included coverage for previously uninsured collectibles.

  • Restaurant- Hospitality Group
    Risk Management Consulting – Commercial Lines

    For a high-end hospitality-restaurant group with 12 locations in nine different States we successfully reduced the workers’ compensation cost by completing a detailed audit of prior experience calculations that uncovered meaningful carrier rating errors, convincing the carrier to reclassify employee payroll into more favorable categories, and closing out claims.

  • Transportation Wholesaler-Distributor
    Risk Management Consulting – Commercial Lines

    For a New Jersey-based transportation company/wholesaler-distributor we created and successfully implemented a loss control program that allowed us to continue coverage with minimal changes in terms or cost after the client had lost over 250 vehicles to Super Storm Sandy.

  • Technology
    Risk Management Consulting – Personal Lines

    For a national Fortune 500 technology executive our analysis of a personal insurance program revealed a significant error in the pre-existing program of the previous broker.  The client owned and resided in a building with the ground floor leased to a high-end retail store.   The personal insurance policy used to cover the building included an exclusion for commercial occupancies.  The redesigned program eliminated the gap by combining a commercial policy for the building with a personal policy to cover the residence.  There was no significant change in the overall cost.

Transaction Services

  • Private Equity Firm
    Transaction Services

    For a large New York City-based private equity firm, we performed an employee benefits due diligence initiative on a $2B acquisition.  The transaction required a complete replacement of all benefits plans to be effective at closing.  Additionally, we built out an entire employee communication campaign including custom employee benefits confirmation statements and managed ongoing administration of benefits program until the company completed its build out of its internal HR infrastructure.

  • Private Equity Firm
    Transaction Services

    For a California-based private equity firm, we conducted an employee benefits due diligence initiative on a $500M transaction.  The target had a number of underfunded multi-employer pension plans that were identified and analyzed during diligence.  After consulting with the Chernoff Diamond actuarial team and understanding the risk associated with the pension plans, the private equity firm decided to halt its pursuit of the company.

  • Private Equity Firm
    Transaction Services

    For a New York City-based private equity firm, we performed an employee benefits due diligence initiative on eight different companies over a five-year period.  These companies were rolled up to create a platform investment with a $1B valuation.  Each transaction had its own unique set of diligence issues including, underfunded multiemployer pension funds, Affordable Care Act risk and compliance problems.  The result is an integrated, market appropriate; proactive benefits program and a new HRIS infrastructure.

  • Private Equity Firm
    Transaction Services

    For a New York City-based private equity firm, we performed an employee benefits due diligence initiative on three different companies at the same time which were being rolled up to create a larger portfolio company.  The transaction was completed successfully and a new integrated benefits program was created that provided market appropriate benefits at a lower cost than the three companies were able to secure on their own.

This information is intended for educational purposes only and should not be construed as an offer to buy or sell any product or strategy.  You should contact your Financial Advisor with questions regarding your individual circumstance.