TieCare 2.0 – What schools need to know about TieCare in 2024 and beyond

What happened to GBG & TieCare?

Parent company Global Benefits Group had a captive insurance cell called GBG Insurance Limited (GIL). GIL went into administration in late December 2023. 

TieCare International was a division of GBG.

Once GBG announced its plan to enter GIL into Administration, the TieCare management and an investor group, led by Bison Capital, purchased TieCare International from GBG. The sale of TieCare to the new ownership closed in mid-January 2024.

The new parent company is called Total Insurance Solutions (TSS), and the business units are TieCare International, Clifford Allen Associates and USCHIP (an acronym for U.S. College Health Insurance Plans), plus the administrative platform that supports these business lines. Note that the customer-facing staffs of TieCare, CAA and USCHIP remain with the new company.

Who is TieCare’s new insurance partner and what can schools expect?

Crum and Forster (C&F), a division of U.S. Fire Insurance Company, is the new insurance entity for all TSS policies.

C&F, a Fairfax company, is “A” rated (2023 A.M. Best) and a well-known, U.S-based company that has been in business for more than 200 years.

C&F’s rating is far superior to that of TieCare’s former insurer (GIL,  “B-“ Rating), meaning there is more stability and security for policy holders.

In addition, C&F will support TieCare with industry-leading administration platforms and claims adjudication expertise, plus actuarial and underwriting resources.

How will TieCare handle renewals going forward?

TieCare’s pricing methodology will remain consistent.

All schools insured by TieCare International are placed into one worldwide insurance pool. There is an annual pool rate action shared by all schools, with adjustments for plan design changes and market conditions. For larger schools, individual claims performance is also considered.

Rate actions will align with previous practices, aiming to renew as many clients as possible while attracting new accounts. TieCare emphasizes world-class customer service, customized direct-bill networks, and 40 years of experience working with international schools, leading to an average retention rate of 90% of group clients.

TieCare’s value remains competitive in the international education market, with many long-term clients already renewing for the 2024 school year.

Summing up

TieCare has undertaken the re-contracting process with over 500 direct-bill providers, a task requiring thorough legal review and more time than anticipated.

Schools and direct-bill providers have been informed of the ongoing process. Upon completion, the administrative platform supporting TieCare, CAA, and USCHIP will be updated to accommodate the new structure and ensure continued service delivery.

Still have questions about how this will affect your school? Contact us at [email protected] or click below to schedule a meeting.

Leave a Comment