11 July 2017 07:00
The talks that started 18 months ago between Medavie Blue Cross and Co-operators have had a strategic alliance between the two groups in the canadian group insurance market in Quebec.
Both on the side of the Co-operators as Medavie Blue Cross, emphasizes that these are the common values of the two companies that have made this possible alliance. Eric Laberge, president of Medavie Blue Cross, emphasized that the strike force of its insurer in Quebec has also convinced Co-operators to go ahead to outsource to his company the management of its business in Quebec, in group insurance.
«We share the same values about the long-term vision for our clients, the engagement of employees or even our approach to active participation in the communities that it serves. For us, the agreement is beneficial to you. It allows us to make a profit from the first year of its entry into force. In addition, it will help us to accelerate our growth in Quebec. Another advantage : by this agreement, is made know to the market that we are open to partnerships of this kind, » says Dr. Laberge.
Ensure quality of service
On the side of the Co-operators, vice-president, group insurance, Conor Quinn, said that the insurer was earning a little bit of traction in Quebec. The more he was gaining volume, the more he had to make sure to provide a good service in la Belle Province. Achieving this strategic alliance was therefore itself to ensure the quality of the service offered. «We can share our skills and our expertise to deliver the right products and services to our clients in Quebec,» he says.
In group insurance, Co-operators has a volume of four million dollars in Quebec. Medavie Blue cross will provide the administration, both at the level of the candidates ‘ eligibility, billing payment of claims. Medavie Blue cross will also ensure the renewal of customers of Co-operators in Quebec, in addition to ensuring the management of the relationship with the brokers and other market intermediaries.
Marry the forces
«All will benefit above all to our customers,» says Mr. Quinn. It will allow us to remain very competitive in Quebec. It combines the strengths of both organizations. It assures us also to retain our presence in Quebec. «
As for the new business, who will go ? Nothing is decided yet, said the two men, in separate interviews. Mr. Laberge considers it likely that everything is decided on a case-by-case basis, taking into account the structure of the Co-operators, where the member shareholders of the cooperative will likely be served under the brand image of the Co-operators. Mr. Quinn agrees that the details are not yet cast in stone and as things continue to build.
«For the clients of Medavie Blue Cross, this arrangement does not change anything,» says Laberge. It does not change anything in our strategy for future development. For new business, we can go there together. We will then decide how it serves the customer. «
The particularity of the Québec in the canadian market has also weighed in the decision of Co-operators to outsource the management of its affairs in collective insurance in the Think-Bleue Medavie. «We still see growth opportunities. But the Quebec market is a the more severe. There are large providers such as Great West life, Manulife or Sun Life. But there are also players such as ai financial Group, Desjardins and SSQare very strong, in addition to their presence outside of the province. Arriving there as a smaller player, you have to put a lot more energy to gain in size, » says Mr. Quinn.