Life Science Companies in California Receive Positive News Regarding Competitive Healthcare Benefits


Biocom California Purchasing Group, the life science group purchasing organization serving California’s largest membership association, supports the Governor and the Legislature in their recent decision to allow health trusts to operate under special conditions, enabling the critical industry health insurance program, Beyond Benefits, to continue serving small-to mid-tier life science employers. Since 2012, Beyond Benefits has helped emerging life science companies in California with more than 4 employees secure competitive healthcare benefits that aim to attract and retain highly-skilled talent.

Beyond Benefits covers 35,000 lives and has realized $6.2 million in first-year savings for over 260 participating companies. Compared to annual market trend rate increases of up to 12%, Beyond Benefit’s 5% average renewal increase since 2012 is well below what employers experience outside the trust. Marsh McLennan Agency (MMA) operates the trust that was built in 2012.

“This bill is a major win for California’s dynamic life science industry and for the state’s economy,” said Greg Giandomenico, vp and managing director of Biocom California Purchasing Group. “The legislation will enable choice, flexibility, and efficiency in life science healthcare plans poised to attract top talent while protecting the bottom line. Biocom California Purchasing Group thanks Governor Newsom and the state Legislature for supporting an industry that creates many high-quality jobs, drives innovation and represents the entrepreneurial spirt of California.”

According to Biocom California’s 2021 Economic Impact Report, the life science industry in California supports over 1.38 million jobs in the region, with economic activity generating a total of $405B in total business sales in 2020 alone. With venture capital in the state up 60% from 2019 to an all-time high of $15B, and over $6.23B in research funding from NIH and NSF in 2020, the state is primed to invest in a highly-skilled and talented workforce.

Trevor Walker, Principal, Employee Health & Benefits Division at MMA, the entity that operates the trust, said: “Beyond Benefits addresses key challenges facing life science companies in California, including the ability to fill and retain a diverse pipeline of skilled workers, especially post-pandemic when demand for top talent is at an all-time high. Beyond Benefits’ rich benefit plan designs offered by best-in-class insurers offer stability and scalability for small-group life science employers looking to compete nationwide.”

About Biocom California Purchasing Group

Biocom California Purchasing Group is the life science group purchasing organization (GPO) serving the largest statewide membership association, with 1,500+ members in various sectors of the life science, biotech, medical device, and pharmaceutical industries.

As a trusted advisor and industry partner, Biocom California Purchasing Group aims to accelerate life science success by leveraging innovative, member-driven strategic sourcing solutions that significantly lower the total cost of doing business in California and beyond. In 2020, members collectively saved $384M and brought more ideas to market through a broad range of products, services and technologies offered by endorsed Purchasing Group suppliers supporting members nationwide.

For more information on Biocom California Purchasing Group, please visit our website at http://www.biocompurchasinggroup.org.

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