1 00:00:02,480 --> 00:00:05,880 Speaker 1: Global business news twenty four hours a day. If Bloomberg 2 00:00:05,920 --> 00:00:09,000 Speaker 1: dot Com, the radio plus mobile lap and on your radio. 3 00:00:09,280 --> 00:00:13,480 Speaker 1: This is a Bloomberg Business Flash from Bloomberg World Headquarters. 4 00:00:13,600 --> 00:00:17,360 Speaker 1: I'm Charlie Pelton, doal, the SMPNAZTAC are all declining. Let's 5 00:00:17,360 --> 00:00:19,759 Speaker 1: head right over to the First Word Breaking news desk 6 00:00:19,840 --> 00:00:24,840 Speaker 1: for today's afternoon call. And here's Bill Maloney. Good afternoon, Charlie. 7 00:00:24,920 --> 00:00:27,560 Speaker 1: That's right me and US averages are trading lower today, 8 00:00:27,600 --> 00:00:30,760 Speaker 1: with the down currently down thirty two points, SUP dropped four, 9 00:00:30,880 --> 00:00:34,159 Speaker 1: NAZAC declines by ten. The small caps six hundred is 10 00:00:34,159 --> 00:00:36,600 Speaker 1: outperforming and is trading higher by a point. In the 11 00:00:36,760 --> 00:00:40,240 Speaker 1: US ten yield at one point five eight percent, Five 12 00:00:40,320 --> 00:00:42,720 Speaker 1: out of ten sub sectors are lower, led by losses 13 00:00:42,760 --> 00:00:46,839 Speaker 1: in healthcare, energy, and consumer staples. Leaders were materials and 14 00:00:47,040 --> 00:00:50,720 Speaker 1: telecom down. Transports drop forty eight and as a biotext 15 00:00:50,760 --> 00:00:54,279 Speaker 1: are down another two percent after yesterday's three point four 16 00:00:54,360 --> 00:00:57,880 Speaker 1: percent decline. Utilities gain a point, and the VIX is 17 00:00:57,960 --> 00:01:00,920 Speaker 1: higher by three point four percent. Down leaders to the 18 00:01:01,040 --> 00:01:04,800 Speaker 1: downside including Nike, United Health, and Walmart, while Cisco and 19 00:01:04,959 --> 00:01:10,200 Speaker 1: Travelers led to the upside. Dollar General plunged sixtent that's 20 00:01:10,360 --> 00:01:13,520 Speaker 1: most ever after earnings, while Tiffity gained as much as 21 00:01:13,560 --> 00:01:17,399 Speaker 1: eight point two percent after its results after the belt. Tonight, 22 00:01:17,440 --> 00:01:21,040 Speaker 1: look for earnings from Autodesk, Splunk, Game Stop and Alta 23 00:01:21,160 --> 00:01:23,680 Speaker 1: Salon Live from the first breaking News to ask on 24 00:01:23,720 --> 00:01:25,640 Speaker 1: Bill Maloney Charltte all right, thank you very much, Bill, 25 00:01:25,720 --> 00:01:28,520 Speaker 1: and to hear live breaking news over your Bloomberg Time 26 00:01:28,600 --> 00:01:33,000 Speaker 1: Squawk sq you a w K on your terminal. I'm 27 00:01:33,120 --> 00:01:38,560 Speaker 1: Charlie Paloton. That's sub Bloomberg Business Flash. Now on Bloomberg Radio, 28 00:01:38,720 --> 00:01:42,440 Speaker 1: we take stock of small business. Small businesses want more 29 00:01:42,520 --> 00:01:47,440 Speaker 1: streamlining and less red tape. Small businesses the no but 30 00:01:47,800 --> 00:01:50,920 Speaker 1: maybe there's so many people that have ideas and it 31 00:01:51,040 --> 00:01:52,640 Speaker 1: has to be more than that. It has to be 32 00:01:53,000 --> 00:01:56,639 Speaker 1: making it real. Bloomberg taking stock small business in focus 33 00:01:56,760 --> 00:02:00,640 Speaker 1: on Bloomberg Radio. Yes, small business in folks, and taking 34 00:02:00,680 --> 00:02:03,040 Speaker 1: a look at some of the issues and challenges that 35 00:02:03,240 --> 00:02:06,600 Speaker 1: small business faces. Here to help us understand more is 36 00:02:06,640 --> 00:02:09,560 Speaker 1: Steve Rosenthal. He is the president and the chief executive 37 00:02:09,680 --> 00:02:13,400 Speaker 1: of Triton h R. They are based in Woodbridge, New Jersey, 38 00:02:13,800 --> 00:02:15,920 Speaker 1: and he joins us in the studio. Steve, thanks very 39 00:02:15,960 --> 00:02:19,959 Speaker 1: much for being here. Tell us first about Triton h R. 40 00:02:20,200 --> 00:02:22,720 Speaker 1: What is it? How did it get started? And how 41 00:02:22,840 --> 00:02:25,440 Speaker 1: did you make this company into what it is today? 42 00:02:25,440 --> 00:02:27,120 Speaker 1: Because I know you've got a background. You were at 43 00:02:27,200 --> 00:02:31,440 Speaker 1: the Data Services previously a d P and then it epics. 44 00:02:31,720 --> 00:02:34,800 Speaker 1: What is Triton HR? Tri to HR is a national 45 00:02:34,880 --> 00:02:39,720 Speaker 1: benefits brokerage firm and HR service provider. UH. We today 46 00:02:39,800 --> 00:02:42,160 Speaker 1: manage about a hundred and seventy five million dollars a 47 00:02:42,240 --> 00:02:45,560 Speaker 1: year in annual premium, whether it's through Blue Cross at 48 00:02:45,639 --> 00:02:49,560 Speaker 1: the signa self funded and we also have a tremendous 49 00:02:49,600 --> 00:02:52,760 Speaker 1: relationship with a DP, the largest payroll company in the 50 00:02:52,800 --> 00:02:56,320 Speaker 1: country as a broke relliance partner in his tremendous advantages 51 00:02:56,800 --> 00:03:00,320 Speaker 1: on having that relationship for our clients at as well 52 00:03:00,800 --> 00:03:02,519 Speaker 1: as far as how you know, start out in this 53 00:03:02,880 --> 00:03:07,120 Speaker 1: um built something called an employee leasing company and I 54 00:03:07,240 --> 00:03:10,920 Speaker 1: sold it. In a matter of fact, Bloomberg's prior president 55 00:03:10,960 --> 00:03:13,799 Speaker 1: when Michael took office was Dan dr Off and he 56 00:03:14,040 --> 00:03:16,160 Speaker 1: was the managing partner of O Kill and him and 57 00:03:16,480 --> 00:03:19,200 Speaker 1: UH the folks had Zerich Insurance came in and they 58 00:03:19,240 --> 00:03:22,959 Speaker 1: bought my company. And employee leasing is basically economies of 59 00:03:23,000 --> 00:03:26,079 Speaker 1: scale putting groups together and you're purchasing insurance and providing 60 00:03:26,240 --> 00:03:30,079 Speaker 1: HR solutions. So after selling the business, I kind of 61 00:03:30,120 --> 00:03:32,720 Speaker 1: stayed engaged for a couple of years, but I've always 62 00:03:32,800 --> 00:03:35,040 Speaker 1: had a liking and stayed very close to the insurance world, 63 00:03:35,440 --> 00:03:38,800 Speaker 1: which really has enabled me to launch Triton Benefits and 64 00:03:38,960 --> 00:03:43,000 Speaker 1: HR solutions. So Steve, what differentials here? It seems so 65 00:03:43,040 --> 00:03:44,960 Speaker 1: there's this has become a more and more crowded space. 66 00:03:45,000 --> 00:03:47,560 Speaker 1: It's nothing new to have online payroll services of all 67 00:03:47,640 --> 00:03:49,680 Speaker 1: kinds are dealing with the Affordable Care Act? What's that? 68 00:03:49,880 --> 00:03:52,680 Speaker 1: What makes you unique? I think what makes us unique, 69 00:03:53,040 --> 00:03:56,600 Speaker 1: Kathleen is taking a look at the insurance and how 70 00:03:56,680 --> 00:03:59,800 Speaker 1: we evaluate the insurance. In the past, the insurance was 71 00:04:00,080 --> 00:04:02,240 Speaker 1: is to liver it on a spreadsheet where you would 72 00:04:02,280 --> 00:04:05,640 Speaker 1: have your major insurance carriers at a Blue Cross United 73 00:04:06,040 --> 00:04:08,680 Speaker 1: and you change deductibles, you change co pagers to have 74 00:04:08,840 --> 00:04:11,720 Speaker 1: an effect on the premium. Well, we look at that 75 00:04:11,800 --> 00:04:14,400 Speaker 1: as a short term band aid. We take more holistic approach. 76 00:04:14,960 --> 00:04:18,719 Speaker 1: We take a look at the businesses census, their demographics, 77 00:04:18,880 --> 00:04:21,640 Speaker 1: where their offices are located, a blue collar on their 78 00:04:21,680 --> 00:04:23,919 Speaker 1: white collar, and we come with a long term solution 79 00:04:24,360 --> 00:04:26,120 Speaker 1: to manage healthcare helps care is to one of the 80 00:04:26,200 --> 00:04:29,160 Speaker 1: largest costs for most businesses today. So if it's a 81 00:04:29,200 --> 00:04:33,040 Speaker 1: group that's an older population, we do Medicare seminars and 82 00:04:33,160 --> 00:04:35,039 Speaker 1: try to show folks to advantage of using maybe an 83 00:04:35,080 --> 00:04:40,400 Speaker 1: a arp um uh United Advantited Health. Right, they've got 84 00:04:40,440 --> 00:04:42,920 Speaker 1: the United Health from a ARP correct. So if we 85 00:04:43,000 --> 00:04:45,479 Speaker 1: can get some folks off the company. Because a company 86 00:04:45,560 --> 00:04:48,080 Speaker 1: can't have a conversation with the employee and say we 87 00:04:48,160 --> 00:04:50,840 Speaker 1: think that you should go to Medicare, but for a 88 00:04:50,960 --> 00:04:52,880 Speaker 1: broker to come in and do a seminar on it 89 00:04:53,200 --> 00:04:56,400 Speaker 1: that that that means a lot. Also, utilizing wellness programs 90 00:04:56,560 --> 00:04:59,800 Speaker 1: telemedicine is very important for companies. We want to get 91 00:05:00,000 --> 00:05:03,479 Speaker 1: aim data and a lot of underwriters will say you're 92 00:05:03,760 --> 00:05:05,840 Speaker 1: too small, you don't have a hundred employees, can't get 93 00:05:05,880 --> 00:05:07,800 Speaker 1: claimed data. So we try to get somebody and a 94 00:05:07,839 --> 00:05:10,520 Speaker 1: self funded or a level funded type of program. Now 95 00:05:10,600 --> 00:05:13,200 Speaker 1: we have the claim data seven, it's good brokers, we 96 00:05:13,279 --> 00:05:15,600 Speaker 1: can take a look at that and say, hey, your 97 00:05:15,640 --> 00:05:18,320 Speaker 1: your prescription costs are in very high on your brand drugs. 98 00:05:18,640 --> 00:05:20,280 Speaker 1: Let's make an amendment to the plan in the middle 99 00:05:20,279 --> 00:05:22,720 Speaker 1: of the year and let's go with generic at zero cost, 100 00:05:22,960 --> 00:05:24,920 Speaker 1: and then maybe we'll also make it an incentive to 101 00:05:24,960 --> 00:05:27,080 Speaker 1: do the maiload of programs. This way, we could look 102 00:05:27,120 --> 00:05:29,880 Speaker 1: at something in the course of the relationship with the 103 00:05:29,960 --> 00:05:32,000 Speaker 1: carrier with the under as opposed to wait in a 104 00:05:32,080 --> 00:05:34,680 Speaker 1: month nine getting your renewal notice and seeing you've got 105 00:05:34,720 --> 00:05:37,239 Speaker 1: a ten percent increase, maybe you should have got a decrease. 106 00:05:37,680 --> 00:05:40,960 Speaker 1: And then employing wellness strategies and telemedicine are tremendous. That's 107 00:05:40,960 --> 00:05:44,080 Speaker 1: the way of the future right now. The Affordable Care Act? 108 00:05:44,320 --> 00:05:48,160 Speaker 1: How has that affected small business specifically? Because now you've 109 00:05:48,240 --> 00:05:51,960 Speaker 1: got to provide some kind of insurance or the individual 110 00:05:52,000 --> 00:05:54,880 Speaker 1: at least that there are one person operation, they've got 111 00:05:54,960 --> 00:05:59,039 Speaker 1: to buy their own insurance. Absolutely prim and what's happened 112 00:05:59,080 --> 00:06:02,560 Speaker 1: today It's caused business with fifty and greater employees to 113 00:06:02,800 --> 00:06:06,000 Speaker 1: go out and now have to provide benefits to their employees. 114 00:06:06,080 --> 00:06:08,240 Speaker 1: And the most that the employee can contribute as nine 115 00:06:08,240 --> 00:06:11,440 Speaker 1: and a half percent of of their their wage. To've 116 00:06:11,440 --> 00:06:13,600 Speaker 1: taken a ploint that makes ten dollars an hour times 117 00:06:13,640 --> 00:06:16,880 Speaker 1: forty hours times fifty two weeks, divide by twelve times 118 00:06:16,960 --> 00:06:19,440 Speaker 1: nine point five, it's a hundred and sixty five dollars 119 00:06:19,760 --> 00:06:22,960 Speaker 1: per month. But let's say the employers paying um, you know, 120 00:06:23,120 --> 00:06:25,720 Speaker 1: three sixty five. So now the employer is going to 121 00:06:25,800 --> 00:06:28,440 Speaker 1: be laying out two hundred a week twenty four hundred 122 00:06:28,480 --> 00:06:30,840 Speaker 1: a year. So it's our job now to go and 123 00:06:30,920 --> 00:06:34,240 Speaker 1: try to find cost effective maybe high deductible plans, maybe 124 00:06:34,279 --> 00:06:36,280 Speaker 1: with an h R A to try to make that 125 00:06:36,360 --> 00:06:39,880 Speaker 1: affordable and make it more affordable for somebody that is 126 00:06:39,920 --> 00:06:42,000 Speaker 1: a low wage journey. But they have buy up plans 127 00:06:42,040 --> 00:06:43,600 Speaker 1: where now if someone wants to spend money out of 128 00:06:43,600 --> 00:06:46,000 Speaker 1: their paycheck and have better plans, they can do that. 129 00:06:46,080 --> 00:06:48,640 Speaker 1: It's part of the strategy that that we employee, so 130 00:06:48,680 --> 00:06:51,200 Speaker 1: we gotta be very careful. You also have a lot 131 00:06:51,279 --> 00:06:53,600 Speaker 1: of compliance now with the A c A filings and 132 00:06:53,680 --> 00:06:58,080 Speaker 1: formed ten ninety four C. And to Kathleen's point, before 133 00:06:58,320 --> 00:07:01,080 Speaker 1: teaming up with a DP has been tremendou because we 134 00:07:01,200 --> 00:07:03,720 Speaker 1: now as brokers know the insurance better than anybody, and 135 00:07:04,400 --> 00:07:06,760 Speaker 1: we want to make sure that if employees gonna wave coverage, 136 00:07:06,800 --> 00:07:09,240 Speaker 1: why they're waving how much they're paying for it? Is 137 00:07:09,279 --> 00:07:12,040 Speaker 1: it mindimal central coverage? Is it minimal value coverage? That 138 00:07:12,120 --> 00:07:14,880 Speaker 1: has to go on form which gets reported to the government. 139 00:07:15,080 --> 00:07:19,920 Speaker 1: And actually keeps companies and compliance today. All right, many 140 00:07:20,000 --> 00:07:23,720 Speaker 1: things to Steve Rosenthal, President and CEO of Trite and 141 00:07:24,120 --> 00:07:27,160 Speaker 1: h R. I think everybody's very happy to hear about 142 00:07:27,200 --> 00:07:29,560 Speaker 1: someone who's trying to come up with some plans, some 143 00:07:29,680 --> 00:07:33,760 Speaker 1: ways to make healthcare affordable for middle and low income workers. 144 00:07:33,800 --> 00:07:37,000 Speaker 1: I'm Kathleen Hayes along with Pim Fox live in Jackson 145 00:07:37,040 --> 00:07:40,800 Speaker 1: Hole the Kansas City FED Symposium. Jacob Frankel, JP Morgan. 146 00:07:40,960 --> 00:07:47,400 Speaker 1: Up next, this is Bloomberg. Bloomberg taking Stock is brought 147 00:07:47,400 --> 00:07:49,920 Speaker 1: to you by Instinct Equities from Bank of America Mary Lynch. 148 00:07:50,000 --> 00:07:53,360 Speaker 1: Your access to informed insights, market color and unique liquidity 149 00:07:53,680 --> 00:07:56,720 Speaker 1: Instinct Equities. That's the power of global connections.