Administrative Services Only

What is Administrative Services Only ?

  
‘Administrative Services Only’ is the practice of hiring another company to provide administrative services for employee benefits while providing the benefits themselves. In such a business agreement, the vendor company simply provides the services and not the benefit itself.
 
For the company providing the benefits, this provides the advantages of better cash flow, lower costs, and flexibility in designing the term plans.
 
This business practice usually takes place for the employees’ health benefits. The initial company is liable for paying premiums, assuming risk, and maintaining statutory compliance in this scenario.

More HR Terms

Offshoring

What is Offshoring?   ‘Offshoring’ refers to establishing a business or brand of business in another country to either gain the benefit of reduced salary

Affective Events Theory

What is Affective Events Theory ?    ‘Affective Events Theory’ or AET is a model developed by psychologists Howard M. Weiss and Russell Cropanzano to

Contact Us

Contact Us

We use cookies on our website to provide you with the best experience.
Take a look at our ‘privacy policy’