Nava Benefits acquires award-winning benefits brokerage to scale its modern benefits experience for midsize employers
Summary
Nava Benefits, a modern benefits brokerage focused on making great benefits easy for mid-sized employers, today announced the acquisition of Nielsen Benefits Group (NBG), an award-winning benefits consulting firm with a proven track record of designing innovative benefits solutions that lower costs for mid-sized employers. This strategic move will unite two forward-thinking companies that share a vision for how technology can revolutionize the benefits service delivery model for employers and improve the member experience.
Acquisition of Nielsen Benefits Group accelerates Nava's ability to lessen the complexity and costs of healthcare for employers.
NEW YORK, July 12, 2023 – Nava Benefits, a modern benefits brokerage focused on making great benefits easy for mid-sized employers, today announced the acquisition of Nielsen Benefits Group (NBG), an award-winning benefits consulting firm with a proven track record of designing innovative benefits solutions that lower costs for mid sized employers. This strategic move will unite two forward-thinking companies that share a vision for how technology can revolutionize the benefits service delivery model for employers and improve the member experience.
Small and mid-sized employers are facing a number of daunting challenges in their effort to provide quality healthcare to employees. Since 2017, employer healthcare costs have grown 20%, disproportionately impacting small-to-midsize employers. In fact, according to new research from the National Federation of Independent Businesses, 98% of small businesses are concerned that healthcare costs will become “unsustainable” for them within the next five to ten years. Moreover, employers lack the resources to manage the growing complexity of benefits plans and the healthcare system. At the same time, employees report increasing confusion and dissatisfaction with their healthcare plans, with as many as 50% unable to even identify their own benefits.
Nava’s unique combination of benefits expertise and proprietary technology has helped employers reduce their healthcare costs, remove unnecessary benefits complexity, and make it easier for employees to understand and use their benefits. By joining forces, Nava and NBG will combine deep consulting expertise with cutting-edge technology to bring this modern benefits approach to more midsize employers.
“In getting to know the NBG team, three things were crystal clear: they share our belief that benefits brokers have an outsized ability to fix healthcare; they care deeply about leveling up the member experience and supporting employees throughout each stage of their healthcare journey; and they actually deliver on the promise of lowering costs,” said Brandon Weber, CEO of Nava Benefits. He continued: “We're excited to come together to make cost-effective healthcare more accessible for employers and employees alike.”
Nielsen Benefits Group is a comprehensive employee benefits consulting firm with an unwavering belief that “employee benefits” is not only about insurance, but rather the benefit of being an employee. In operation for more than 30 years, the brokerage has grown 5x in the last five years, keeping pace with the dramatic changes facing the benefits landscape. Recognized for their focus on customized plan design, employee benefits education and excellent service delivery, they’ve successfully introduced benefits innovation to midsize employers who have been historically underserved in the market.
“After three decades of building Nielsen Benefits Group into an award-winning employee benefits brokerage, I wanted to find a partner who could take our client and market impact to new highs,” explained Craig Nielsen, President and CEO of NBG. “Nava emerged as the clear choice versus traditional brokerages, offering a compelling partnership that brings cutting-edge innovation to our clients and a deeply mission-driven culture to my team.”
“I’ve been doing this for almost 15 years and I believe that we’re entering a period of rapid change in our Industry as employers’ needs evolve and healthcare costs reach a breaking point. Nava is at the forefront of innovation in the benefits brokerage industry and we’re thrilled to join them on their mission to fix healthcare by building the modern benefits brokerage,” noted Ed Ligonde, Executive Vice President at NBG. He continued: “This is an exciting moment for our clients as they’ll continue to get incredible service and expertise from their core team, while also experiencing additional tools and capabilities that are typically reserved for the country’s largest companies, at no additional cost. As part of Nava, we can supercharge what we’re already accomplishing for our clients, allowing us to do it better, faster, and at a far greater scale.”
Nava’s acquisition of NBG is the latest milestone in the company’s mission to bring high-quality, affordable healthcare to all Americans. Earlier this year, Nava announced the launch of its member experience offering, anchored by the launch of the Nava Benefits App, which simplifies the key aspects of the employee benefits journey.
Terms of the deal were not disclosed.
