There is not enough competition among insurers and hospitals, Jelf Employee benefits has warned.
According to a Jelf survey of employers, 54% said there was not enough choice and greater competition would benefit clients.
Ronjit Bose, commercial director for Jelf Employee Benefits, said the industry needed to keep being creative as employers were now actively seeking ways to engage staff.
The research showed 48% of companies were considering initiatives to engage, retain and reward staff in the next 12 months.
Bose said options that may once have been the domain of much larger employers, such as flex, were now being embraced by smaller employers, adding: "What clients are looking for is better choice, service and transparency from insurers and hospitals."
The majority of companies stated price was the principle driver when reviewing healthcare policies, the research showed.
But Jelf warned although price was important clients needed to be educated on appropriateness of cover, good service and efficient claims management.
Bose said: "Consultancy and broking is the important differentiator between intermediaries. Ongoing support is vital for a healthcare policy to add value.
"Intermediaries that consult - rather than broke - are in a position to help their clients get real value out of their healthcare."
